DXY : US Dollar Index

The overall recommendation is Buy based on technical indicators and moving averages. The price is really close to or below the lower band which means it's oversold. An RSI between 30 and 70 is pretty normal, showing a neutral rating. The MACD line is above the signal line which is a bullish hint. The 10-day EMA is above the 20-day EMA which suggests short-term strength. The current price is above the 50-day SMA which is a sign of medium-term strength. The 50-day SMA is under the 200-day SMA, suggesting a longer-term downtrend. The ATR is 0.49 which gives a sense of the current price volatility.

Morgan Stanley Research forecasts an additional 10% decline in the US Dollar by the end of next year, following an 11% drop in the first half of 2025. In contrast, hedge funds are increasing their dollar positions, expecting a rebound into the fourth quarter with some analysts projecting the DXY Index to rise towards 100.16. Bank of America acknowledges strong short-term demand from hedge funds but maintains a bearish medium-term outlook for the dollar. Société Générale's FX strategist observes that investors are reversing short positions due to a dollar reversal. UBS Global's Chief Investment Office finds the dollar unattractive and forecasts EURUSD rising to 1.20 by June 2026, recommending a reduction in USD exposure.