USD Index Price Analysis: The 103.50 region offers decent contention
- The index extends the decline and retest the mid-103.00s.
- The loss of this region could accelerate losses to 101.30.
DXY remains on the defensive and poked with the key support region around 103.50 at the beginning of the week.
The breach of that contention area could spark a deeper retracement to, initially, the May 2022 low around 101.30 (May 30) ahead of the psychological 100.00 yardstick.
In the meantime, while below the 200-day SMA, the outlook for the index should remain tilted to the negative side.