DXY: Move Down Expected! Short!
My dear friends,
Today we will analyse DXY together☺️
The recent price action suggests a shift in mid-term momentum. A break below the current local range around 97.099 will confirm the new direction downwards with the target being the next key level of 96.993 and a reconvened placement of a stop-loss beyond the range.
❤️Sending you lots of Love and Hugs❤️
USXUSD trade ideas
Correct analysis and continuation of the trendAs we mentioned in the previous analysis, the price hit resistance and dropped again.
As you know, major news starts from Wednesday, and until then there’s no significant news for the Dollar Index. Most likely, the price will continue its decline toward the 97.150 area, reaching a key support level. There’s also a strong possibility that if the news comes out in favor of the dollar, we could see a powerful rebound from that zone.
DXY Analysis – Are Bad News Already Priced In?Since Trump entered the White House, the U.S. Dollar has taken a hard hit against its major counterparts, losing more than 10% overall.
But looking closer at the chart, we see a different story: since the April low around 97.80, the DXY has been stuck in a range-bound pattern, with the exception of July’s dip that was quickly reversed.
Lately, the USD has faced strong headwinds:
• Two weak NFP reports in a row.
• The Fed hinting at rate cuts.
• A constant flow of bearish headlines.
And yet, the Dollar did not collapse to fresh lows — instead, it simply revisited the same levels as before. This is a classic market signal that bad news may already be priced in.
From a technical standpoint, August was nothing but an annoying tight range:
• Support around 97.50.
• Resistance near 98.50.
Now, although the index looks like it’s breaking lower, I suspect this is another false breakdown, one that could be reversed quickly. If that plays out, the stage is set for a push higher — potentially to the 100 zone, a clean 3% rise from current levels.
Such a move would naturally translate into pressure on the majors:
• EUR/USD could slide back toward 1.14.
• GBP/USD could retreat near 1.35.
For now, I’m watching closely for reversal signals. The market has punished the USD for months, but if sellers are exhausted, the Dollar may surprise to the upside. 🚀
DXY Daily TF Consolidation Pending a Major BreakoutPrice has been ranging between a daily resistance and demand zone since the beginning of August. Another bounce in the demand zone this week will take price back to the resistance zone and if the resistance zone continues to hold then we short back to demand.
However, should resistance break, then the next target will be in daily supply. CPI should give us a better indication of should we get a break of this consolidation.
Personally I am leaning towards a bullish dollar for the short-term foreseeable future.
DXY Analysis – August 31, 2025In our past two weekly analyses, we highlighted the 98.00 zone as a key reversal area for the Dollar Index (DXY).
Once again, during the last week, price reacted to this level and started another bearish move.
📉 The recent candlestick structure suggests that sellers are still in control, but to fully confirm downside momentum, we need at least a daily close below 97.00.
🔻 If that happens this week, the index could gradually head toward our next downside targets at 96.00 and 95.00.
Bearish momentum to extend?The US Dollar Index (DXY) has rejected off the pivot and could drop to the 1st support.
Pivot: 98.63
1st Support: 97.12
1st Resistance: 100.21
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DOLLAR INDEX (DXY)...one of the most important tools for a tradeHello TradingView community! Joseph here, just wanted to share some nuggets on the Dollar Index and how it has helped me in my personal trading and profitability in the markets.
In the video I go over
1. The significance of the USD in the markets
2. How using the USD index is necessary for correlation (multi-asset even)
3. How to use the USD index to help better time your own trades in the markets
So sit back, grab your notebook and take some notes because this information WILL help give you an immediate higher chance of success if applied!! Thanks for watching please boost/comment/follow my page for more trading nuggets!
Cheers!
US Dollar: Still Bearish-Neutral, But Is The Correction Ending?Welcome back to the Weekly Forex Forecast for the week of Sept 8-12th.
In this video, we will analyze the following FX market: USD Dollar
The USD is still grinding sideways, but it did sweep the low of the consolidation Friday on bad NFP numbers. Worth mentioning is it finally made contact with a significant demand zone as well. As bearish-neutral as the DXY has looked over the past several weeks, there is potential here that if has finally found support for higher prices.
As long as the market maintains the protected low, we are still in correction territory. The potential for a move higher remains.
React and do not predict.
Enjoy!
May profits be upon you.
Leave any questions or comments in the comment section.
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MY POSSIBLE 3 OPTIONS FOR THE DXY NEXT WEEKTrading week 08 - 12 SEPTEMBER 2025
On Friday last week poor USD NFP readings caused a strong selloff of the Index however this didn’t leave the consolidating channel and we saw a re-bounce from 97.500 area of support.
This week a selloff in the 98.054 area could see the index testing the lower lows 96.700 and 96.470; if 98.054 is broken the next levels I will monitor are 98.300 and 98.743 as possible selloff entries. If the price breaks these levels and reaches 99.200 we could see more uptrend the DXY rallying to the 99.900 level of resistance.
U.S. Dollar Index (DXY) Outlook | Gold (XAU/USD) Correlation📈 U.S. Dollar Index (DXY) at Key Support | 🪙 Gold at Record Highs
🔎 Quick Summary:
• DXY holding 97.70 support inside a descending channel.
• A rebound could push it back toward 98.25 – 98.50.
• Meanwhile, Gold is sitting near $3,600/oz, at all-time highs, fueled by safe-haven demand and central bank buying.
• The DXY’s next move will help decide if Gold keeps climbing or pauses.
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💵 U.S. Dollar Index (DXY) Outlook
On the 4H chart, the Dollar Index remains inside a descending channel. It has been forming lower highs and lower lows, yet the 97.70 level has repeatedly held as strong support.
• 🔹 Buyers are defending this zone, showing demand.
• 🔹 A rebound could take price back to the 98.25 – 98.50 supply zone.
• 🔹 A breakout above 98.50 would be significant, opening room toward 99.00+.
This makes the 97.70 region a critical turning point for DXY.
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🪙 Gold (XAU/USD) Context
Gold is trading at record highs around $3,600/oz 🚀 — a level never seen before.
• 🌍 Central banks continue to accumulate gold aggressively.
• 🏦 Expectations of Fed rate cuts reduce the opportunity cost of holding gold.
• ⚖️ Persistent economic and geopolitical uncertainty is fueling safe-haven demand.
Correlation with DXY:
• 📉 If the Dollar rebounds, Gold could slow down or consolidate after its massive rally.
• 📈 If the Dollar breaks below support, Gold could see further upside, possibly testing higher targets near $3,700/oz and beyond.
⸻
📊 Conclusion
The Dollar Index is sitting at make-or-break support. A bounce would show Dollar strength and may cool off Gold’s rally. But if DXY weakens further, Gold could extend its surge into new record territory.
At this point, Gold remains the undisputed leader in the market, with DXY’s next move likely deciding how fast momentum continues.
⸻
⚡ Summary in one line:
💵 DXY at critical support — 🪙 Gold shining at record highs, waiting for the Dollar’s next move.
DXY Will Go Up! Long!
Please, check our technical outlook for DXY.
Time Frame: 1D
Current Trend: Bullish
Sentiment: Oversold (based on 7-period RSI)
Forecast: Bullish
The market is trading around a solid horizontal structure 97.736.
The above observations make me that the market will inevitably achieve 99.022 level.
P.S
Overbought describes a period of time where there has been a significant and consistent upward move in price over a period of time without much pullback.
Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
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DXY monthly chart ... bullish aheadDXY monthly chart trading at 97.300- according to channel shows DXY current price is at its cruicial support if it breaks may reach to 200 month EMA i.e. 91.864. As per previous pattern behavior it should reverse from here. If it crosses 100 month EMA i.e. @ 98.511 then price will touches to 50 month EMA 101.253 very soon. This month is only for buyers.
Dollar Index - How Low Can We Really Go?The U.S. dollar is having the kind of year that makes you check if someone switched its medication — down about 10% so far in 2025, its worst showing since Richard Nixon murdered the gold standard.
Momentum traders had a field day this week with low resistance from 98.100 to 97.500 within one trading session.
This draw towards sell side liquidity was covered in the previous analysis and if you participated in the short play this week, you should be proud of yourself!
GBPUSD and EURUSD (the only 2 FX pairs I track) rallied on dollar weakness, targeting premium arrays on the 1-hour timeframe.
Although my overall bias for dollar index is bearish which will provide risk on scenarios, it does not mean every single week will print limit down. Retracements are expected. For this reason, I am playing it safe by being neutral.
DXY consolidationWith the dollar consolidating over 20 trading days showed a "no impulse" month rather than prices moving during high impact news. WIth prices consolidating on the demand level but failing to take out the lowest area, signals hope for the coming week as bulls look to push prices higher.
Okay, here is a brief analysis of the US Dollar Index (DXY). **Okay, here is a brief analysis of the US Dollar Index (DXY).
**Fundamental Analysis:**
The US Dollar Index (DXY) is a composite measure of the dollar's value against a basket of major currencies. Its trajectory is primarily driven by the Federal Reserve's monetary policy stance and the relative strength of the US economy. The dollar typically strengthens when the Fed adopts a hawkish stance (hiking rates or signaling hikes), US economic data outperforms (e.g., NFP, GDP, CPI exceeding expectations), or global risk-off sentiment sparks safe-haven demand. Conversely, it often weakens on expectations of Fed rate cuts, weak US data, or improved global risk appetite.
**Technical Analysis:**
From a technical perspective, after a prolonged rally fueled by an aggressive hiking cycle, the DXY has recently been consolidating at high levels. The 105-106 zone is a crucial pivot point. A decisive break and hold above 107 could signal a resumption of the uptrend. However, a sustained break below key support near 104 might indicate exhausted bullish momentum and risk a deeper correction. Traders should watch its correlation with US Treasury yields closely.
**Summary and Outlook:**
In the short term, the DXY's movement will remain highly volatile, closely tied to Fed policy expectations and economic data releases. Its longer-term direction depends on the growth and interest rate differential outlook between the US and other major economies (particularly the Eurozone). The market is still pricing in the Fed's rate cut path, keeping the dollar's near-term direction uncertain.
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*Disclaimer: The above content is market analysis and does not constitute investment advice. Markets are risky; invest with caution.*