DXY Upside Likely after FOMC into NFP
Updated
DXY has stalled over the past two weeks settling at around 102.00 price level.
This coming week is the FOMC and NFP where inducement of large scale liquidity is likely.
Due to the nature of the current range, I believe the pair will be subject to manual intervention to shake out retail traders before a more sustained large range move higher.
Likely scenario: Possible fake out lower to 101.5 by FOMC followed by large range move higher reaching for the 103.00-104.00 price levels by the end of the week with NFP.
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Due to NFP and FOMC events this week, I will not be participating in the markets and neither should you.
This coming week is the FOMC and NFP where inducement of large scale liquidity is likely.
Due to the nature of the current range, I believe the pair will be subject to manual intervention to shake out retail traders before a more sustained large range move higher.
Likely scenario: Possible fake out lower to 101.5 by FOMC followed by large range move higher reaching for the 103.00-104.00 price levels by the end of the week with NFP.
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Due to NFP and FOMC events this week, I will not be participating in the markets and neither should you.
Note
Looks like FOMC and fed rate hike of 0.25% on 2023-02-01 sunk the DXY as expected. Retrace above the range is unlikely. I will continue to observe but my idea has been all bud dashed by this point.Note
My wave of pessimism turned out to be incorrect. My directional call was on point.
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