long-term XDY trading strategy

Closing this morning's trading session, the DXY index is stuck in a narrow range between 105.97-106.67 last week. The current key support level for this index is 106. If the DXY Index can maintain well above the 106 mark, the short-term outlook will be bullish, possibly even reaching the 107-108 mark.

On the other hand, if this index falls below the 106 mark, it will likely continue to fall to the 105.50-105 area. The risk of a trend reversal will only appear if the DXY coin index slips below the 105 mark.

According to Investing, the USD has become more stable after somewhat mixed comments from Federal Reserve Chairman Jerome Powell on the interest rate roadmap. The greenback ended the week lower as traders booked some recent profits.