US Dollar Index Price Analysis: Monthly support line, 21-DMA defend DXY bulls

• DXY flirts with bears around key supports, recovers of late.
• Bearish MACD keeps sellers hopeful but a clear break of 92.50 becomes necessary.
• Bulls need a successful run-up past 93.00 to keep the reins.

US Dollar Index (DXY) keeps bounce off 21-DMA and a one-month-old support line around 92.60 amid Tuesday’s Asian session.

The greenback gauge dropped slipped beneath the short-term key trend line support the previous day before taking a U-turn from the stated moving average. However, MACD turns most bearish since late May and back the DXY bears.

Hence, a clear downside break of 21-DMA level of 92.50 could direct the quote towards the monthly low near the 92.00 round figure.

Though, any further downside will be questioned by the late June’s bottom surrounding 91.50 and early May’s top close to 91.45-40.

Alternatively, the recent swing high near 93.00 becomes the trigger for fresh upside towards the monthly top, also the highest since April, near 93.20.

In a case where the US Dollar Index bulls keep reins past 93.20, the yearly peak close to 93.50 will be in focus.

DXY: Daily chart

Trend: Pullback expected