• The index extends the advance well past the 104.00 mark.
• Extras gains now target the YTD high at 105.63.

The upside momentum gathers extra impulse and lifts DXY to new monthly highs near 104.70 on Friday.

The ongoing price action favours the continuation of the uptrend for the time being. Further bouts of strength are now expected to put a potential test of the 2023 top at 105.63 (January 6) back on the investors’ radar in the not-so-distant future.

In the longer run, while below the 200-day SMA at 106.44, the outlook for the index remains negative.

DXY daily chart