US data this week includes CPI data on Tuesday and Retail Sales data on Thursday and there is the small matter of the FOMC in between.

The USD is holding on to the gains that have accumulated through December so far – despite typically negative seasonal patterns for the USD running into the end of the year.

Headline inflation and Retail Sales data are expected to come in soft but the FOMC will set the tone for the USD in the near-term.

There is still time for gains to reverse and the DXY rebound is showing some signs of stalling in the low 104 area over the past few sessions.