DXY Taps Crucial Support as EUR/USD Bounces into Resistance

The US Dollar Index (DXY) is currently testing its pivotal support level around 99.41/49, which marks the monthly range low and the 38.2% retracement of the yearly advance.

This zone is defined by the January swing high and is closely watched as a key area for price action. A break below this slope could signal further decline towards the August high-day close / May low at 98.68/69 and the objective yearly open at 98.24.

In contrast, the Euro (EUR/USD) has been attempting to mark its fourth consecutive weekly advance, but faces technical hurdles starting with the 1.618% extension of the June rally at 1.1609.