US Dollar Index drifting sideways before breaking lower to 94.65

US Dollar Index structure and price action remains constructive for bears since 103.00 highs. After dropping lower to 98.27 levels, Wave 1 on the chart; the index has remained within a trading range. Corrective waves are at times trick to be identified early on, and can take various forms. A probable wave structure could be that of a contracting triangle unfolding since 98.27 lows. In that case, prices will remain below 100.93 and break lower towards 94.65 going forward. Alternately, the index might rally and test 101.20 unfolding as a flat. Either way, US Dollar Index remains bearish against 103.00 levels.

Strategy:

Short against 103.00, targeting below 94.65

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