USD Index Price Analysis: Rising odds for a move to the 200-day SMA

• DXY keeps the bullish mood well in place and advances past 104.60.
• Extra gains could extend to the 200-day SMA near 105.60.

DXY adds to Tuesday’s advance and clinches fresh multi-week tops in the 104.60/65 band on Wednesday.                                                                                             

In the near term, extra gains appear on the cards. That said, the surpass of the May high at 104.63 (May 31) should put a potential visit to the key 200-day SMA, today at 105.63, back on the radar prior to the 2023 top of 105.88 (March 8).

Looking at the broader picture, while below the 200-day SMA the outlook for the index is expected to remain negative.

DXY daily chart