US Dollar Index Price Analysis: Another visit to 2021 high is not ruled out

• DXY inches higher and extends the break above 96.00.
• Further up is located the YTD peak near 97.00.

DXY adds to the gradual rebound from weekly lows in the mid-95.00s (November 30), with gains so far capped near 96.30.

The continuation of the upside momentum targets the 2021 highs in levels just shy of the 97.00 barrier (November 24) ahead of the round level at 97.00 and 97.80 (high June 30 2020).

In the meantime, while above the 2-month support line (off September’s low) near 94.20, extra gains in DXY remain well on the table. In addition, the broader constructive stance remains underpinned by the 200-day SMA at 92.56.

DXY daily chart