📊 DXY is forming a potential Rising Wedge pattern, which is often a sign of weakening bullish momentum.
🔍 Scenario Breakdown:
1️⃣ Price may fake out above the wedge to grab liquidity
2️⃣ Then sharply reverse into a bearish impulse move
3️⃣ Targeting the previous structure support near 103.100
🎯 Take Profit: Key zone below the wedge (~103.100)
🛑 Stop Loss: Above recent highs / wedge top
💡 Why this makes sense:
• Wedge patterns often lead to reversals or deep corrections
• Possibility of a liquidity trap above resistance
• Post-news reaction setups (e.g., FOMC) can trigger sudden reversals
• Dollar shows signs of weakening in broader context
⚙️ Technical Tools Used:
• Rising wedge pattern
• Liquidity zone analysis
• Market structure break
• Risk-to-reward approx. 1:3
Let’s see if DXY gives us the break + trap we’re looking for!
#DXY #Forex #BearishSetup #TechnicalAnalysis #LiquidityTrap
🔍 Scenario Breakdown:
1️⃣ Price may fake out above the wedge to grab liquidity
2️⃣ Then sharply reverse into a bearish impulse move
3️⃣ Targeting the previous structure support near 103.100
🎯 Take Profit: Key zone below the wedge (~103.100)
🛑 Stop Loss: Above recent highs / wedge top
💡 Why this makes sense:
• Wedge patterns often lead to reversals or deep corrections
• Possibility of a liquidity trap above resistance
• Post-news reaction setups (e.g., FOMC) can trigger sudden reversals
• Dollar shows signs of weakening in broader context
⚙️ Technical Tools Used:
• Rising wedge pattern
• Liquidity zone analysis
• Market structure break
• Risk-to-reward approx. 1:3
Let’s see if DXY gives us the break + trap we’re looking for!
#DXY #Forex #BearishSetup #TechnicalAnalysis #LiquidityTrap
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.