DXY: Dollar Index - 12 day Continuation Pattern OverDXY Dollar Index
The DXY counter-rally (far left arrow) shows a 12 day
continuation pattern from 1st December to 12th before DXY
falls out of the parallels as the decline continues. The right-
hand arrow also shows a 12 day continuation pattern from 1st
February to 12th before DXY once again loses the parallel and
begins to fall away again. Having broken down through 90.02
it should fall away to the 89.61 line and then begin to put up
more of a fight - can dip to 89.51 and bounce and whipsaw at
89.61 to 89.51 and maybe spike as low as 89.30 but DXY must
hold here at lowest today to avoid another retest of the lows
at 888.72 - 8843 range. So far this DXY rally is no more than a
continuation pattern within the overall downtrend. But Dollar
bulls still have the minor double bottom at 88.50-88.40 on
their side and will likely fight hard to protect these levels
again if retested later this week.
