U.S. Dollar Index (DXY) Testing Range High After Channel BounceU.S. Dollar Currency IndexTVC:DXYFOREXcomThe U.S. Dollar Index continues to recover within a rising channel after the sharp rebound from the late-January low, and price is now pressing back into a key horizontal resistance area around the recent range high. That makes this zone important, as the market is no longer just bouncing — it is now testing whether the recovery can transition into a broader breakout structure. From a moving average perspective, price remains above both the 50-day and 200-day SMAs, with the 50-day SMA still holding well above the 200-day SMA. That alignment keeps the medium-term structure constructive, while the recent pullbacks have continued to respect higher lows inside the ascending channel. The channel itself reinforces the idea of orderly upside pressure rather than a single impulsive spike. Momentum indicators are also leaning supportive, though not without some caution. MACD is positive and remains above the zero line, which suggests bullish momentum is still present, even if the latest crossover area shows momentum flattening slightly near resistance. RSI is holding in the low-60s, reflecting firm strength without yet pushing into an extreme overbought condition. That combination points to positive momentum, but also suggests the current resistance area may require stronger follow-through before the move can extend cleanly. Technically, the chart is at an interesting decision point: a sustained move above the horizontal ceiling would strengthen the bullish continuation case, while rejection from this zone could keep DXY rotating within the broader range despite the constructive channel. For now, the structure remains moderately bullish as long as the sequence of higher lows and support from the rising channel stays intact. -MW