USD Index Price Analysis: Potential consolidation ahead of extra gains

• DXY’s upside momentum meets some resistance around 113.50.
• The dollar could attempt some consolidative mood in the near term.

The strong rebound in DXY seems to have met quite a firm hurdle around the 113.50 region on Tuesday.

Some range bound trading should not be ruled out in the very near term ahead of the potential continuation of the uptrend. Against that, the next target of note should emerge at the 2002 peak near 114.80 (September 28) seconded by the round level at 115.00.

The prospects for extra gains in the dollar should remain unchanged as long as the index trades above the 7-month support line near 107.70.

In the longer run, DXY is expected to maintain its constructive stance while above the 200-day SMA at 103.01.

DXY daily chart