US Dollar Index Price Analysis: Weakness seen as a buying opportunity

• DXY seems to have met quite a decent support around 108.00.
• A visit to the 2002 high should not be ruled out near term.

DXY loses momentum and revisits the area of weekly lows in the 108.00 neighbourhood on Thursday.

Despite the corrective move, further still appears in store for the index. That said, bouts of weakness could be deemed as buying opportunities ahead of a probable retest of 109.00 and a potential new visit to the 2022 high at 109.29 (July 14). Above the latter comes the September 2002 top at 109.77 before the round level at 110.00.

In the meantime, while above the 6-month support line around 105.20, the index is expected to keep the short-term positive stance.

Looking at the long-term scenario, the bullish view in the dollar remains in place while above the 200-day SMA at 100.61.

DXY daily chart