Predict the USD trend this week

23 Okt 2023

The DXY index turned down last week, in the context of US Treasury bond yields continuing to increase. The 10-year US Treasury bond interest rate hit 5% this week. In a recent speech, US Federal Reserve Chairman Jerome Powell reiterated that inflation in the US remains high. According to forecasts released by the central bank last month, the Fed is likely to raise interest rates by 25 basis points one more time this year. At the next meeting on November 1, the market still expects the Fed to keep interest rates unchanged.
The DXY index was stuck in a tight range between 105.97-106.67 last week. The current key support level for this index is 106. If the DXY Index can maintain well above the 106 mark, the short-term outlook will be bullish, possibly even reaching the 107-108 mark.

On the other hand, if this index falls below the 106 mark, it will likely continue to fall to the 105.50-105 area. The risk of a trend reversal will only appear if the DXY coin index slips below the 105 mark.