DXY: Will dollar index break its deadlock to 105?

US DOLLAR INDEX(DXY)
Key Levels:
R1 – 105.555
R2 – 103.686
S1 – 101.446
S2 – 100.508
Analysis:
DXY has had a rough batch since the last weekly analysis, failing to retest R1 and as per last week, R2. Despite the rate hike last week by the FED, upside momentum has eluded DXY. This is due to the capital flight to safe havens Gold and JPY in the light of the banking crisis woes with US regional banks like Silicon Valley and First Signature Bank. PCE data is due this week on Friday, any sharp rise in the data will support DXY. The instability in the treasuries market (money market & capital market) also added to the upside impediments, the gradual and stable recovery of US10yr and US30yr will allow DXY re-attempt R2 in the week. Failure to break R2 will drive price action back to last week’s S2 level.