Why the USD is about to rally... See chart below please.
I would not necessarily listen to certain You-Tubers who write-off important momentum indicators like Stochastics & RSI.
My observations of both is that they are wonderful at telling me what is overbought & oversold. When a commodity, currency or stock is in either of these phases, massive & fast swings in price can occur as price comes out of the overbought (shorting) and oversold (buying) conditions.
The timeframe of the Stochastic and RSI which I've noticed has the most power and punch with respect to the above is the Weekly but sometimes the Weekly & Daily & 4HR RSI/Stochastics cross-up (x-up on 30/20 respectively) on their zones (buy) or cross-down (x-down 70/80 respectively) on their zones (short-sell). You really need to see the indicators tick-up (buy) or tick-down (sell) firmly through their respective zones (RSI 30/70) STOCH 20/80).
The following chart is the Weekly for the USDX. The RSI looks to be really getting under price & packing a big momentum-punch upwards soon. Plus the Stochastics Weekly is looking to cross up on its 20 zone at the same time. When they cross-up and if the Daily simultaneously crosses up it will provide a lot of upward price movement in USD and its index USDX.
I have been saying for about a week now that a rally is coming for the USD. This chart is the confirmation.
