DXY β One Break Could Trigger the Next ExpansionUS Dollar IndexCAPITALCOM:DXYTheZimpactπ΅ The US Dollar Index has been recovering strongly from the recent lows after breaking out of the previous sideways structure. Price has now pushed back into a key zone, with momentum improving and buyers attempting to reclaim an important part of the previous range. π Previously: π Bullish scenario The recent recovery has created a clear sequence of higher highs and higher lows, showing that buyers are gradually regaining control. Price is now testing the current zone. If DXY holds this area and continues higher, a breakout above the next resistance zone could open the way for another bullish expansion. Zone reclaim β bullish continuation. π Bearish scenario The current zone is an important decision point. If price gets rejected and breaks back below the nearby support, the recent recovery could lose momentum and turn into a deeper retracement. A stronger breakdown could then bring the lower demand zone back into focus. Zone rejection β support breakdown β deeper retracement. π― Outlook DXY has recovered significantly from the lows and is now testing a major structural zone. The reaction here should give us a clearer signal about whether this recovery can continue or whether price will fall back into the previous structure. Hold the zone β bullish structure remains intact. Break the resistance β further upside opens up. Lose the support β deeper downside becomes likely. Range recovery β zone reclaim β breakout watch.