DXY bears struggle to keep reins after stepping in from monthly peak.
Key support keeps buyers hopeful as RSI returns from overbought region, yearly top in focus.
US Dollar Index (DXY) bulls challenge the previous day’s pullback from a monthly top around 93.22 during Tuesday’s Asian session.
In doing so, the greenback gauge teases the previous resistance line from late July, now support.
It’s worth noting that the overbought RSI conditions, which are now normal, previously triggered the quote’s U-turn from a one-month high.
Given the key support and normal RSI, DXY bulls are likely to keep the reins with the latest swing high near 93.45 acting as an immediate target.
During the quote’s upside past 93.45, the yearly peak of 93.72 and the 94.00 will be in focus.
Even if the US Dollar Index bears manages to conquer the 93.20 resistance-turned-support, an ascending trend line from mid-September and 200-SMA, respectively near 93.10 and 92.75, will gain the market’s attention.
Hence, DXY remains bullish given the quote’s sustained trading beyond the key technical supports.
DXY: Four-hour chart