DXY: Rounding Bottom Complete — Breakout Loading?US Dollar IndexCAPITALCOM:DXYibraheeemzThe U.S. Dollar Index (DXY) has formed a beautiful rounding bottom reversal pattern and recently broke above the key 100.4 resistance, followed by a successful retest. That level should now act as new support, confirming the shift in market structure. The next major hurdle is the neckline resistance at 101.5. At the first test, DXY faced a strong rejection, and the weekly candle closed as a Bearish Harami, suggesting short-term hesitation near resistance. However, the broader technical picture remains constructive. 🟢 Bullish Factors 📈 Rounding Bottom Reversal A classic bullish reversal pattern following a prolonged decline. ✅ 100.4 Successfully Reclaimed Previous resistance has turned into support after the retest. 📊 Bullish EMA Alignment All major EMAs remain aligned to the upside, while Daily EMA20 acting as dynamic support now. 💪 No Significant Bearish Signals Apart from the weekly Bearish Harami, there are no major technical signs suggesting a larger reversal. 🎯 Bullish Scenario ➡️ As long as 100.4 continues to hold as support, I expect DXY to make another attempt at 101.5. A decisive breakout above the neckline could trigger the next leg higher. 🎯 Target 1: 102.8 🎯 Target 2: 104.0 ❌ Bullish Invalidation 🔴 A strong daily close below 100.0, followed by a failed reclaim that turns it into resistance, would invalidate this bullish thesis and increase the probability of a deeper correction. 👀 Watch the 101.5 neckline closely. A breakout above it would confirm the rounding bottom and likely mark the beginning of the next bullish impulse.