DXY Chart Technical Outlook is looking more Buy with 105.70 and 106.15 on focus
The Dollar is drawing support from market expectations that Trump will take control of both chambers, which paves the path for his inflationist agenda of lower taxes, high tariffs, and restricted immigration.
This is likely to force the Fed to slow down its easing cycle and target a higher terminal rate, probably 3.50% instead of 3%.
With the Euro and the Yen on the defensive, Dollar’s downside attempts will likely remain limited. The next targets are 105.70 and 106.15 ahead of October’s high, of 106.90. Supports are 103.90 and 103.00.
