The Dollar Index on the daily timeframe has completed a five wave impulsive structure followed by an ABC corrective phase forming a falling wedge pattern which has now broken to the upside suggesting a potential bullish reversal with wave one of a new impulsive sequence already in play currently pulling back near the Fibonacci 0.382 retracement level of the initial wave this aligns with strong macroeconomic tailwinds as recent hawkish comments from Fed officials reinforce the possibility of prolonged higher interest rates supporting dollar strength market sentiment has shifted cautiously bullish with immediate resistance near the 104 zone where bulls may target further upside contingent on upcoming US labor market data and inflation reports which could either validate the breakout or trigger a deeper corrective move.