DXY | Will It Rest For a While After Such a Non-Stop Surge?U.S. Dollar Currency IndexTVC:DXYDatTongMacro approach: - The US dollar index held firm after persistent PCE inflation strengthened bets on a hawkish Fed. - May’s PCE Price Index rose 4.1% YoY and stayed at 0.3% MoM, highlighting ongoing inflationary pressure. - With economic data proving resilient, the dollar looks set to remain supported as markets price in additional Fed tightening. Technical approach: - After correcting toward EMA21, DXY fluctuated within a tight range of 101.35-101.54. The index is hovering around EMA21, suggesting a potential shift to sideways trend. - If DXY breaks below 101.35, the index may plunge toward the next support at around 101.00. - On the contrary, remaining above 101.35 may prompt a retest of the immediate resistance at 101.54. Analysis by: Quoc Dat Tong, Senior Financial Markets Strategist at Exness