USD faces critical week ahead of Fed decision - breakout imminent

The US dollar index (DXY) is consolidating near the 102.50 resistance level as markets await this week's Federal Reserve policy decision. EUR/USD remains range-bound between 1.0820-1.0890, while GBP/USD tests support at 1.2850 amid UK economic concerns. USD/JPY shows strength above 150.00, supported by diverging monetary policies between the Fed and BoJ. USD/CHF holds steady near 0.8650 as safe-haven flows remain balanced. Technical analysis reveals the DXY is forming a symmetrical triangle pattern, suggesting an imminent breakout. A hawkish Fed stance could propel the index above 103.00, while any dovish surprise might trigger a decline toward 101.00 support. Key resistance levels across major pairs align with the Fed decision, making this a pivotal week. Traders are advised to monitor Fed Chair Powell's press conference closely for directional cues on rate trajectory and economic outlook.