US Dollar Index Price Analysis: Correction lower could test the mid-98.00s

• The rally in DXY run out of some steam near the 99.20 level.
• The next target on the upside remains at 99.37 (September 3^rd 2019).

DXY is losing some momentum after being rejected once again from YTD peaks near 99.20 earlier in the session.

The current overbought levels in the dollar coupled with the better mood in the riskier assets could motivate the index to extend the corrective downside to, initially, the November 2019 top at 98.54 in the near-term.

Looking at the broader picture, the constructive perspective on the dollar is seen unaltered as long as the 200-day SMA at 97.77 underpins.

DXY daily chart