US Dollar Index Price Analysis: Still room for further decline

• DXY drops further and approaches the 98.00 mark.
• A potential deeper retracement to the 97.70 area is not ruled out.

DXY loses further the grip and accelerates losses to the 98.15 zone on Thursday.

Considering the recent price action in the dollar, further retracement in DXY now carries the potential to extend to the weekly low at 97.71 (low March 10), where some initial contention is expected to emerge.

The current bullish stance in the index, however, remains supported by the 6-month line, today near 95.90, while the longer-term outlook for the dollar is seen constructive while above the 200-day SMA at 94.47.

DXY daily chart