The US Dollar Index may reverse its trend if it moves toward the narrower part of the descending wedge.
The momentum indicator MACD suggests a bearish trend for the US Dollar.
The nine-day EMA at 103.39 level could act as an immediate barrier.

The US Dollar Index (DXY) retraces its recent losses from the previous session, trading around 103.20 during the European hours on Monday. The daily chart analysis shows the pair is consolidating within a descending wedge, indicating a bearish bias. A move toward the narrower part of the descending wedge could suggest a potential trend reversal.

The Moving Average Convergence Divergence (MACD) indicator points to bearish momentum, with the MACD line below both the signal line and the centerline. A convergence of the MACD line below the signal line would suggest a potential weakening of the bearish momentum for the US Dollar Index.

Additionally, the 14-day Relative Strength Index (RSI) consolidates above the 30 level, hinting at a possible upcoming correction. A further rise toward the 50 level would suggest a weakening of the bearish outlook.

US DOLLAR INDEX PRICE FORECAST: REMAINS ABOVE 103.00 WITH EXPECTING A TREND REVERSAL