Technical outlook:
The US dollar index is testing its high, which was print around 92.52 levels at the time of writing. Bears are expected to keep prices below 93.72 swing high (potential resistance) to keep the bearish structure intact. A break below 93.20 would be encouraging for bears and open the door toward 92.00 and lower levels.
The index is likely carving a standard flat corrective structure towards 91.00 levels going forward. The recent boundaty which is being worked upon is between 89.50 and 93.72 levels respectively. It has produced the first and second legs around 91.94 and 92.52 levels already; and the last wave towards 91.00 should be underway soon.
Also note that fibonacci 0.618 retracement of the previous rally between 89.50 and 93.72 is passing through 90.80-91.00 zone. Hence probability remains high for a bullish reversal, if prices manage to drop through the support zone.
Trading plan:
Potential drop toward 91.00 against 93.72.
Good luck!
