The Dollar index witnessed over throw or fake breakout from ascending parallel channel due to excess optimism but it is now back into the channel. Pattern wise, it seems to be forming distribution triangle. MACD is also going negative in daily time frame along with turning towards negative in weekly time frame. Once it breaks down lower side of Triangle then it...
There is weekly support line which should be respected in first attempt, expecting DXY to bounce till 92.8 zone from 90.25-90.3 zone. BUY near 90.26 for target of 92.8 and beyond. This should be bearish for Equities, commodities, cryptos....
Dollar Index study - DXY pullback and possible direction
So Dollar Index has met with its old friend - a downtrendline - after a long time. We can expect an interim fall in the index from current levels of 92.7 to levels of around 91. Its a contra position to market sentiments, hence extreme caution is adviced, however the gains will be sweet! The RSI is also dropping from overbought levels to 68 levels, look poised to...