Dollar Index

The US Dollar Index (DXY), the world's reserve currency, regained strong momentum following a healthy correction. Monday's correction is viewed as healthy, helping the index to exit overbought territory rather than signaling a downward trend.

Key Indicators

• The daily chart remains biased to the upside, and it is still possible the pair will revisit 101.80, as the chart shows upward pressure in the short term.

Fundamental Context

The dollar index may continue to trade within a tight range as traders digest the geopolitical news and await the Fed meeting outcome. Additionally, ongoing geopolitical developments and updates on the US-Iran negotiations remain important factors to monitor.