Yesterday the DXY consolidated slightly above 103.00 price level, failing to trade higher, with the 103.50 resistance area keeping the upside at bay.
As the price broke below 103 and the 23.6% Fibonacci level, the DXY traded down to the 102.60 price area which aligns with the 50% Fibonacci retracement level.
The DXY weakened as the deal between Silicon Valley Bank (SVB) and First Citizen's bank was announced, where First Citizen's bank was acquiring SVB, alleviating some concerns over the banking crisis.
If the DXY breaks below 102.50, further weakness could be anticipated for the DXY with the price likely to retest the key support level of 102.