From the recent Commitment of Traders (COT) data, it's evident that the Dollar Index (DXY) has shown significant bullish sentiment in prior weeks. However, as we approach a key resistance zone, there's been a notable shift in the COT index. This drastic change raises the question: what could be driving this potential reversal?
One major event looming on the horizon is Trump’s inauguration in a week’s time. While political shifts often stir the markets, the real focus for traders should be on how the weekly candle closes. A bearish close could signal the beginning of USD weakness in the early part of 2025.
I don't anticipate any major shocks in the stock market this year, but there is the possibility of a sharp correction. If that happens, knowing where to buy will be critical—such opportunities could offer excellent long-term holds for the next 11 months.
For now, I’m watching the DXY closely for signs of exhaustion at resistance and potential bearish momentum in the weeks ahead. Stay sharp and manage risk carefully as this pivotal period unfolds.
What are your thoughts on the DXY and USD trends for 2025? Let me know in the comments!
One major event looming on the horizon is Trump’s inauguration in a week’s time. While political shifts often stir the markets, the real focus for traders should be on how the weekly candle closes. A bearish close could signal the beginning of USD weakness in the early part of 2025.
I don't anticipate any major shocks in the stock market this year, but there is the possibility of a sharp correction. If that happens, knowing where to buy will be critical—such opportunities could offer excellent long-term holds for the next 11 months.
For now, I’m watching the DXY closely for signs of exhaustion at resistance and potential bearish momentum in the weeks ahead. Stay sharp and manage risk carefully as this pivotal period unfolds.
What are your thoughts on the DXY and USD trends for 2025? Let me know in the comments!
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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.