US Dollar Index Price Analysis: Another drop to the May low is not ruled out

• DXY appears consolidative in the lower end of the range.
• Extra losses could see the monthly low near 101.60 retested.

The index trades without a clear direction and keeps hovering around the 102.00 neighbourhood on Thursday.

DXY remains under pressure and extra losses should not be ruled out for the time being. That said, a breakdown of the May low at 101.64 (May 24) could pave the way for a visit to the temporary 55-day SMA, today at 101.03 in the short-term horizon.

Looking at the broader picture, the current bullish stance in the index remains supported by the 3-month line around 100.50, while the longer-term outlook for the dollar is seen constructive while above the 200-day SMA at 96.72.

DXY daily chart