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The Dollar index is moving to new highs and towards major resistance area. There are important bearish divergence warning signs for bulls.
Black lines - bearish divergenceGreen rectangle - short-term target
I believe upside potential is limited for the Dollar index. Price could continue higher towards 99-99.20 but I believe this upward move will be short-lived. The RSI is approaching the black resistance trend line. Each new high in price is not followed by new high in the RSI. This is not a bearish signal but just a warning to bulls in order to be cautious. That is why I expect price to move towards 99 and then reverse.
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