The DXY is coiling for a breakout.

The DXY is in a “bear flag” pattern currently and the target is well below the 94.00 level on a breakdown. However, there is a downtrend line (blue) and if this is broken it will negate the bear flag and turn the DXY index bullish. Currently, the risk remains lower as long as the 97.00 level is not broken or closed above.