USD Index Price Analysis: Scope for further advance

• DXY reaches new 2-week highs around 101.60.
• Next on the upside comes the 102.60 region.

DXY picks up further impulse and records new multi-session peaks around 101.60 on Tuesday.

The index should clear the 102.60 zone, where the provisional 55-day and 100-day SMAs converge, to alleviate the downside pressure and allow a potential test of the July high in the mid-103.00s seconded by the key 200-day SMA at 103.95.

Looking at the broader picture, while below the 200-day SMA, the outlook for the index is expected to remain negative.

DXY daily chart