DXY Outlook: Double Bottom Signals Further US Dollar StrengthU.S. Dollar Currency IndexTVC:DXYMihai_IacobDuring the first half of the year, the US Dollar Index traded with a clear bullish bias, rising approximately 7% from its low to the late-July peak just above 101.50. A relatively sharp correction followed, initially suggesting that the broader bullish trend could be coming to an end. However, after reaching a local low around 98.60, DXY stabilized and formed a clear double-bottom pattern. Last week, the price broke above the neckline of this formation, confirming the double bottom and strengthening the bullish case. Resistance Still Stands in the Way At the time of writing, DXY is trading above the psychological 100 level and consolidating around the 100.30–100.40 zone. Technically, this remains an important resistance area. It can also be viewed as a retest of the previously broken rising trendline, which now acts as resistance. Therefore, although the break above the double-bottom neckline is a positive signal, additional confirmation is still required before a sustained move higher can develop. For bulls to take full control, DXY needs to break above the 100.30–100.40 resistance zone and, more importantly, demonstrate that it can hold above it. My Trading Outlook In my opinion, higher prices will eventually follow, with DXY potentially retesting the yearly highs above 101.50. The key support area is now situated between 99.80 and 100. As long as this zone remains intact, the bullish structure is valid, and temporary pullbacks should be viewed as potential buying opportunities. Conclusion The double bottom around 98.60 has been confirmed, but DXY is now facing an important technical obstacle around 100.30–100.40. A confirmed break and stabilization above this resistance would open the way toward the yearly highs above 101.50. Until the market proves otherwise, my strategy is simple: buy the dips while DXY holds above the 99.80–100 support zone.