Technical Analysis for the U.S. Dollar Index
The U.S. Dollar Index remains in a downward trend on the 4-hour timeframe. Prices declined on Tuesday after pulling back from the DIFVG zone, which represents a strong supply area. Currently, prices are trading around the 98.76 level. It is worth noting that the index successfully grabbed liquidity above Monday’s high, which supports the bearish bias for the dollar so far.
Key Economic News
There are no major economic events impacting the U.S. dollar today, so price movement is expected to remain relatively calm.
Liquidity Levels
A price decline is expected if the 98.60 level is broken, targeting the 98.15 and 97.50 levels.
Bearish Scenario Invalidation:
The bearish outlook would be invalidated if prices revisit the 100.25 level.
