DXY is facing resistance zone

As you know, I’ve been bullish on the DXY and have anticipated a reversal since the now-confirmed bottom just above 100.

With the price now above 106, however, I believe USD bulls should start exercising caution. There’s a very strong resistance zone ahead, ranging from 106.20 to 106.50, with another important level just above 107.

In my view, a correction is likely soon, and I’ll be watching for buying opportunities in EUR/USD and GBP/USD.