US Dollar Analysis - by MMFX This is not a prediction, it never is.
My bullish anticipation on the instrument is rooted from many catalyst of course, though the proof of the pudding is communicated on the charts itself.
I zero in on the Weekly to Day bias on price action looking for: Market Structure, Inducement, CISD, Candle Stick Patterns, Voids/Gaps, SMT, Liquidity Sweeps, Bullish ChoCH, BOS, etc.
On the 4H - 30M scope i look to refine and define the narrative.
Monitoring fundamentals & lending rates on the global and domestic scale I pair this with
barometers related to the index such as Treasury's, GOLD and other securities to identify if my Bullish suspicions are true..
Thank you.
USXUSD trade ideas
Highly likely the DXY goes down.Trading the DXY increase in 2022 was my best trade of that year. Specifically on the USD/CAD pair not the whole index. Options worked great for this.
I had call options on USX not the company. It's Options on the US Dollar (USX) on the TMX exchange in Montreal Canada. To gain exposure to a rising dollar, or to hedge existing positions, call options on USX can be an effective tool. If DXY is going down like 2020-2021 it's great for stocks and equities. A falling dollar is also beneficial from the perspective of US national debt, as it makes interest payments cheaper in relative terms. Also many people outside the US have USD debts so example they make CAD but their debts are in USD. Well now their company is worth more as debt went down and revenue up. Otherwise known as currency risk. Very important for companies dealing in multiple currencies regardless of the type of business they do.
The US has incentive for a weaker dollar as the interest payments on their debt are now around $1 Trillion a year.
This yellow line represents a significant long-term resistance level. As long as the price fails to break and hold above this zone, the path of least resistance remains to the downside.
The MACD is currently moving down, supporting a bearish bias. However, there are two key bullish signals I am watching that would challenge this view:
The Bullish Crossover: This occurs if the blue MACD line crosses above the orange signal line.
On the daily timeframe, a simple crossover can sometimes be a temporary fake-out (like
the "flip-flopping" seen around April 3rd-9th). While it's a warning, it's not always a
definitive trend changer on its own.
The Bullish Divergence: This is the more powerful signal. If the price has set a new low since
April 2025 but the MACD has formed a higher low, it creates a bullish divergence. A
confirmation of this pattern could signal the end of the long-term downtrend and mark a
serious change in market conditions.
A bullish crossover happening at the same time as a confirmed bullish divergence would be a very strong combination, making a short position on the DXY extremely risky.
**Disclaimer:**
*The information provided in this post is for educational and informational purposes only. It does not constitute financial advice, investment recommendations, or a solicitation to buy or sell any financial instruments. All investments involve risk, and the past performance of a security, market, or trading strategy does not guarantee future results. I am not a financial advisor. Please conduct your own thorough research and consult with a qualified financial professional before making any investment decisions. You are solely responsible for any investment decisions you make.*
Bullish bounce?US Dollar Index (DXY) has bounced off the pivot and could rise to the 1st resistance.
Pivot: 98.36
1st Support: 97.98
1st Resistance: 99.23
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U.S. Dollar Index . 1MLong-term DXY (Dollar Index) Analysis
Greetings to all valued followers,
This is a long-term analysis and macroeconomic outlook based on Smart Money Concepts (SMC), carefully charted with key reactive zones highlighted. Within this analysis, significant support levels, imbalance zones, and liquidity pools are outlined, which can guide your market decisions as the price reaches these areas.
Key Zones Based on the Monthly Timeframe
Support (Monthly): 97.441
This level is considered the primary support. It’s expected that, should the price reach this zone, a reaction or corrective rally might unfold.
Support (Monthly): 94.629
This is the secondary support, which acts as the next target if the previous support is broken. Typically, these supports indicate potential reversal points or short-term retracements.
Imbalance Zone (Unfinished Business):
Range: 91.782 – 91.436
This zone represents an Imbalance, signalling a strong disequilibrium in the market. The market will likely revisit this area to restore balance (rebalancing).
Significance: It acts as a Liquidity Magnet — if the Federal Reserve fails to provide sufficient liquidity and the support line is broken, the price will tend to continue downward into this zone to gather the required liquidity for economic rebuilding and confirmation of a bearish trend.
Liquidity Pool:
Liquidity (M): 89.209
This is a liquidity pool where, should the bearish momentum persist, the price is expected to test or reach this level. A significant volume of buy and sell orders are accumulated here, making it a crucial target for further downside.
Charting Summary and Outlook:
The monthly supports at 97.441 and 94.629 are key areas to watch, with market reactions to be evaluated via Order Blocks and Break of Structure (BOS) signals.
The imbalance zone between 91.782 and 91.436 may trigger a retracement within the ongoing downtrend — traders should look for confirmation signals in price action.
If the market fails to gather enough liquidity in these zones, the next downside target would be around 89.209, indicating a continuation of the bearish trend.
Persistent concerns about the US economy are weighing on the DXY
US-China tensions deepened as President Trump criticized China’s rare earth exports and threatened broader tech restrictions and visa cancellations for Chinese students. He also vowed to double tariffs on foreign steel to 50% to strengthen the US steel industry. April headline PCE inflation eased to 2.1% (prev. 2.3%, cons. 2.2%), partly soothing tariff-related inflation concerns.
DXY broke below the 99.00 threshold and dropped to a 6-week low. EMA21 is widening its gap with EMA78, suggesting a potential extension of the bearish structure. If DXY breaks below the support at 98.00, the index may decline further to 97.00. Conversely, if DXY reclaims the resistance at 99.00 and breaches above EMA21, the index could advance to 99.50.
DXY: Approaching a bottom. Wait for the 1D MA50 to break.The U.S. Dollar Index is neutral on its 1D technical outlook (RSI = 45.278, MACD = -0.450, ADX = 23.415) as it seems to be approaching a long term support level, the bottom of the 12 month Channel Down. As long as it stays under the 1D MA50, the trend will remain bearish towards the bottom but once it crosses above, we will turn bullish and aim for a +9.95% bullish wave (TP = 107.000) same as the one before. Notice how similar the 1D RSI fractals are now and the previous bottom in September 2024.
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Bretton Woods 2.0?Examining the long-term trend of TVC:DXY since the 1980s, we might be facing a staggering 40% reduction in valuation, potentially landing us around 60. If the US were to devalue the dollar this drastically, could it effectively erase the national debt? 🤔 Is Trump bold enough to consider such a move?
We know the FED is going to cut eventually, the question is when and by how much? Initial claims came in higher than estimated, with cracks beginning to show in the labor market, how much longer can JPow hold out?
DXY 15-Minute Technical & Fundamental AnalysisDXY 15-Minute Technical & Fundamental Analysis
DXY has reclaimed momentum, trading at 99.300, after strong U.S. economic data and a hawkish tone from Fed officials signaled policy stability — boosting short-term confidence in the U.S. dollar. On the 15-minute chart, we’re seeing a bullish structure reinforced by clean liquidity manipulation and institutional flow.
Price confirmed bullish intent after breaking above minor key resistance at 99.250, triggering a wave of buy-side momentum. A brief liquidity hunt below 99.250 followed — a textbook manipulation phase — before buyers stepped back in.
DXY then formed Higher Highs and Higher Lows, indicating a well-supported uptrend. Price is now sitting inside the liquidity zone, where smart money often positions for the next leg up.
📊 Trade Setup
📍 Area of Interest (AOI): 99.140 (Buy Limit)
🛡 Stop-Loss: 98.990 (Below liquidity grab and minor support)
🎯 Take Profit: 99.610 (Next minor resistance / 1:3 RR)
This setup aligns with institutional behavior, offering a high-probability entry for short-term trend continuation.
📰 Fundamental Outlook
🇺🇸 USD Strength Backed by Short-Term Fundamentals
Resilient U.S. Data: Retail sales and durable goods orders beat forecasts, signaling economic strength and limiting downside for the dollar.
Fed Stays Hawkish: Policymakers have reiterated their "higher for longer" stance, reducing expectations for rate cuts and supporting the dollar.
Safe-Haven Demand: Geopolitical concerns and weak economic data abroad have driven flows back into the USD as investors seek stability.
Yield Support: Elevated U.S. bond yields continue to attract foreign capital, giving additional strength to DXY.
📌 Disclaimer:
This is not financial advice. Always wait for proper confirmation before executing trades. Manage risk wisely and trade what you see—not what you feel.
BULLISH REVERSALThe frame of a possible trade
On the Daily time frame, going back to what we can identify as the parent move
price gapped to the upside, filled with wicks and candles, price moves to the upside
leaving short-term lows(STL)
Price retraced and took liquidity at STL
On the Daily time frame, price expands violating a Daily Sell-side Imbalance Buy-side Inefficiency
05/29/25 Price gapped up, taking out liquidity at a STH
If this price action implies bullishness, then price will have to take/deliver some form of sellside
This is happening ahead of the Core PCE Price Index Data release on Friday 30/05/25
US DOLLAR FORECAST (update)Update of stalking bullish behavior in the USD instrument.
Intermarket confluence has aligned instruments such as Gold & US Stocks are soft to Bearish, I focus on XAUUSD and US30 outside of Oil to gauge validity of idea.
Thus said focus is on the 5 min chart, we seek rejections framed from 30 min area of interests.
Trigger should be after 5m Bullish playbook, manipulation is a sign of a healthy "auction".