DXY | Will US dollar break 99.40 today?U.S. Dollar Currency IndexTVC:DXYDatTongMacro approach: - The US dollar index gained ground as progress in Middle East peace talks alongside renewed military activity deepened concerns over prolonged energy supply disruptions. - Market attention turned to today's Core PCE release, where persistent inflation pressures are expected to reinforce the case for a more restrictive Fed stance. A stronger-than-forecast reading could raise the odds of further rate hikes, lending additional support to the US dollar. Technical approach: - After retesting the ascending channel's lower bound and EMA78, DXY strongly bounced toward the key resistance at 99.40. The index is hovering below 99.40 and await for a breakout to determine the short-term trend. - If DXY breaches above 99.40, the index may surge toward the next resistance at around 100.25. - Conversely, remaining below 99.40, may prompt DXY to retest EMA21. Analysis by: Quoc Dat Tong, Senior Financial Markets Strategist at Exness