DXY | Will DXY Form a Double-Bottom Pattern?U.S. Dollar Currency IndexTVC:DXYDatTongMacro approach: - The US dollar index fell yesterday as markets weighed fresh Washington–Tehran peace talks after weekend confrontations near the Strait of Hormuz. - US officials reiterated their commitment to keeping the waterway open for commercial shipping, easing geopolitical worries. - The US dollar could gain if the peace talks continue to face uncertainties. Technical approach: - DXY is bouncing from the support at 101.08. The index broke the descending trendline and may head to test the neckline of the potential Double-Bottom pattern. The index is also above both EMAs, indicating a potential resumption of its uptrend. - If DXY breaks above 101.39, the index may surge toward the immediate resistance at 101.70. - On the contrary, staying below 101.39 may prompt a reset of the descending trendline. Analysis by: Quoc Dat Tong, Senior Financial Markets Strategist at Exness