DXY fair value based purely on weighted 2Y spreads lies just above 104 today, very close to where the index is trading but that does not necessarily preclude more weakness in the near-term. 

The charts do suggest more short-term pressure on the index, with heavy selling interest developing today to leave a bearish, short-term print on the intraday chart; price action implies strong resistance for the index at 104.55 now and the risk of more DXY losses on a break under 103.95/104.00.