I decided to give a go at the Dollar Index given the circumstances around the world. And to be honest, I tried to put on the positive glasses.
I believe the dollar has been in a complex correction since the mid 80's. Starting out with a large dump in '85 with the a-wave, the correction slowed down and only grew more and more complex.
Thought about current wave: What I believe we are going through now is, that we are finishing up the purple C-wave in a green (C)-wave. This wave can end at any time now, since it's now at the 61.8% fib level of the purple A-wave. But it might go down to the 95 level (The green box) to complete at the 100% fiblevel of the purple A-Wave.
But first we will have the fourth wave meaning the DXY is gonna struggle for some weeks. Because we had a swift two week wave 2, which means we are probably going have a slow fourth wave according to the rule of alternation. This mean the purple C-wave could drag out into the end of '25 into early '26.
This is also with that in mind that a C-wave most likely will take longer than an A-wave. These are the Purple boxes.
BUT, after this, DXY is gonna experience some happy years again, going back up to the yellow box somewhere between 110 and 120 to finish the WXY of x of the larger degree. This will take DXY into a couple of years bull-run as long as the green (C) wave runs and completes no earlier than late '27, depending when the purple C-wave prior to the green (C) wave ends. But I believe the green (C)-wave will take about two years to complete.
But after this, DXY could again go into some dark ages and considering the high degree purple w-wave took 23 years to complete (blue giant box), there is no reason to believe this high degree purple y-wave will be a swift matter and actually don't complete before the year 2050. And it will take the DXY all the down to start 60's or lower.
The reason I said I tried to put on the positive glasses, is that I tried seeing the white channel as a leading diagonal for a new bull run, but I just don't see it as such.
I also tried seeing it as a C-wave of a flat diagonal, but this would result in another C-wave afterwards, and also take us down to the 60's level. So that didn't do us any good.
For the sake of DXY, I hope I'm wrong, but this is how I see it.
I believe the dollar has been in a complex correction since the mid 80's. Starting out with a large dump in '85 with the a-wave, the correction slowed down and only grew more and more complex.
Thought about current wave: What I believe we are going through now is, that we are finishing up the purple C-wave in a green (C)-wave. This wave can end at any time now, since it's now at the 61.8% fib level of the purple A-wave. But it might go down to the 95 level (The green box) to complete at the 100% fiblevel of the purple A-Wave.
But first we will have the fourth wave meaning the DXY is gonna struggle for some weeks. Because we had a swift two week wave 2, which means we are probably going have a slow fourth wave according to the rule of alternation. This mean the purple C-wave could drag out into the end of '25 into early '26.
This is also with that in mind that a C-wave most likely will take longer than an A-wave. These are the Purple boxes.
BUT, after this, DXY is gonna experience some happy years again, going back up to the yellow box somewhere between 110 and 120 to finish the WXY of x of the larger degree. This will take DXY into a couple of years bull-run as long as the green (C) wave runs and completes no earlier than late '27, depending when the purple C-wave prior to the green (C) wave ends. But I believe the green (C)-wave will take about two years to complete.
But after this, DXY could again go into some dark ages and considering the high degree purple w-wave took 23 years to complete (blue giant box), there is no reason to believe this high degree purple y-wave will be a swift matter and actually don't complete before the year 2050. And it will take the DXY all the down to start 60's or lower.
The reason I said I tried to put on the positive glasses, is that I tried seeing the white channel as a leading diagonal for a new bull run, but I just don't see it as such.
I also tried seeing it as a C-wave of a flat diagonal, but this would result in another C-wave afterwards, and also take us down to the 60's level. So that didn't do us any good.
For the sake of DXY, I hope I'm wrong, but this is how I see it.
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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.