DXY SELL AFTER 93.00 BREAKOUTkey level of 93 confirmed by many bounces on different time frames
we can see the price is falling sharply after the breakout signaling seller strenght
possibly the price already hit stop losses of many traders
this will lead to positive change in instruments with USD .
i saw nice build up on gold, and gbpusd with this break the price on those instruments is ready to shoot high
DX1! trade ideas
USD FuturesUS Dollar futures
On Friday DX found a triple support around 93.5 (EMA100/EMA200 and a trend support).
On a 4H chart, the DXY broke both, EMA 100/200 with increasing volume showing a bullish participation followed by a low volume correction and a successful test with a high volume test candle.
On a weekly basis, last week finished with a bullish move with high volume.
Bullish short-term sentiment
Resistance 94.7-95.5
USDOLLAR / DXY (monthly) : Faking below yearly low?30 yr yield is already making lower lows since March 2019 (signaling risk). Shouldn't DXY be negatively correlated to it?
DXY has recently dipped below a yearly low to collect liquidity. It's also an exit for trapped sellers from Jan 2018 low (blue box).
Watch out for a rally on monthly charts for DXY!
DXY up => risk OFF => Crash in stock market.
Let's see how this plays out.
USD SellThe Futures of USD Indexfinished the week on a red as the accompanying volume increased.
The growth of US dollar 3 weeks ago was with wide spread and low volume, showing no demand in place. Additionally, the price rejected to break the resistance level from March.
This is a sign of weakness as a new sell-off is comming in next weeks.
The most recent and strong support level is at 90 points. There is a trend line, which first point is in 2011, the second in 2014 and the third is going to be in 2020.
USD still bullishThe USD index turned bullish last month, retraced and appears to be ripe to rip.
Over the early part of this week, the USD index formed a piercing pattern just after it broke down the 55EMA (orange line). A gap up followed today’s opening, and if this follows through, then bullishness of the USD is firm.
Consequence to the USD upside includes a weaker S&P500, crude and precious metals.
Dollar Index Bullish BreakoutThe USD Index DX1! had a bullish breakout from near the end of a wedge.
This is a legit buy signal and appears to be a larger trend change, a after bullish divergence (on the MACD), with very big consequences... as it all leads towards the US Elections.
System Buy Signal generated, MACD supportive and crossed up into the bullish territory.
Be aware and beware!