Can DXY Break Above 100?U.S. Dollar Currency IndexTVC:DXYburakkesmeciCan DXY Break Above 100? DXY dropped sharply from above 110 at the start of 2025, pulling back all the way to 95.55. It is currently trading around 98.55. Let's start with the technical picture before moving to the fundamental side. Momentum is advancing at a balanced level, with bears gradually losing ground on the weekly timeframe. RSI sits at 51.97 and continues to gain strength. Technically, this momentum could push DXY higher. Key resistance levels to watch: R1: 99.66 R2: 102.89 Now let's add the Middle East to the picture. Brent crude was trading around $70 before the war — once the conflict broke out and the Strait of Hormuz closed, it pushed above $90. UBS has warned that if the strait remains closed, Brent could move toward $100 and beyond. The macro connection is straightforward: rising energy costs push producer inflation higher, take Fed rate cut plans off the table, push bond yields up, and drag bond prices lower. In classical theory, geopolitical crisis brings safe-haven flows into the dollar — yet DXY is still trading below 99. This time, the market is seeking refuge in gold and commodities rather than the dollar. This divergence tells you just how fragile the current picture really is.