USD Index Price Analysis: Extra losses could test 104.63
- The index remains well on the defensive and breaks below 105.00.
- The continuation of the downside could drop to the August low.
DXY extends the leg lower to the area below the 105.00 level for the first time since mid-August.
The continuation of the selling pressure could motivate the dollar to shed further ground and challenge the August low at 104.63 (August 10) in the short-term horizon.
Below the 200-day SMA at 105.51, the dollar’s outlook should remain negative.