The Dolar Index (DXY) saw a minor decrease to begin the week, staying at 104.2. As expectations for a Fed interest rate drop grew last week, the DXY fell to 103 but gained support from Fed members' remarks and closed at 104.
As of right now, the DXY's closest support is the 104 level. Even if things are still looking bleak generally, daily closing over 104.5 would indicate that the dollar is getting stronger. A short-term positive trend would be shown by surpassing 104.8.
The DXY may move toward the 102.8–103.5 region if it is unable to remain above 104.5 this week due to additional downward pressure. This week, the Services PMI, New Home Sales, Q2 growth statistics, and poll results following the candidate switch are the main factors affecting the value of the dollar. The dollar market may be impacted on Friday by the US Personal Consumption Expenditures Price Index, a key measure of inflation.
The inflow of data midweek may obscure market direction, implying that the DXY may remain close to the 104 level for the duration of the week.
