DXY- Where to?
After forming a double top above the 106 level, with the second top occurring at the beginning of July, the DXY (US Dollar Index) began to decline.
After breaking the 104 neckline of this pattern, the index tumbled to the key support level at 100.50, which coincides with the price level from the start of the year.
As expected, the price started to recover, and at the time of writing, it is trading at 101.66. Although there has been a rebound from support, it's too early to consider the trend reversed. For a confirmed reversal, the price needs to break back above the 102.50 zone.
If this happens, the price could continue upward, with a longer-term target around the 106 level and an interim resistance at 104.
Conversely, if the index fails to break above 102.50 and drops back to 100.50, there is a high probability of a further decline, with 98 as the next target.
After breaking the 104 neckline of this pattern, the index tumbled to the key support level at 100.50, which coincides with the price level from the start of the year.
As expected, the price started to recover, and at the time of writing, it is trading at 101.66. Although there has been a rebound from support, it's too early to consider the trend reversed. For a confirmed reversal, the price needs to break back above the 102.50 zone.
If this happens, the price could continue upward, with a longer-term target around the 106 level and an interim resistance at 104.
Conversely, if the index fails to break above 102.50 and drops back to 100.50, there is a high probability of a further decline, with 98 as the next target.
📈 Forex & XAU/USD Channel:
t.me/intradaytradingsignals
💎 Crypto Channel:
t.me/FanCryptocurrency
🌟 Bust your trading with 50% deposit bonus:
secure.m4markets.com/links/go/5426
t.me/intradaytradingsignals
💎 Crypto Channel:
t.me/FanCryptocurrency
🌟 Bust your trading with 50% deposit bonus:
secure.m4markets.com/links/go/5426
Related publications
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.