DXY: The Graceful Short This is interesting…Ever since the birth of Bitcoin, the DXY was in an overall uptrend, but that uptrend may have ended in the resistance zone. Price seems to have reversed for the DXY especially after the formation of a bearish engulfing candle on the 6M timeframe. Price may end the year within or on top of the support zone.
What does this mean for crypto and other assets?
If the DXY has reversed and is now in a long term down trend, crypto currencies and other assets will be in long term uptrends! Bitcoin may skip its upcoming bearish year next year or more than likely the bearish year will happen but the retracement may be short. Stay tuned!
USDINDEX trade ideas
$BTC's run to ATH is fueled by $DXYNOT FINANCIAL ADVICE
I've yet to see this being mentioned anywhere on the internet, but TVC:DXY 's rally may just be CRYPTOCAP:BTC 's best friend.
This, despite the popular notion that when TSX:DXT goes up, CRYPTOCAP:BTC goes down, and vice-versa.
However, this novel idea puts a break to it.
TVC:DXY is hitting the bottoms of its uptrending channel, and it's likely to bounce back up towards the ceilings.
Which means a rally is likely, and this is kinda good for $BTC.
I'll remain bullish, until the numbers say otherwise.
Breakout of the channelAfter the DXY broke out of the channel, it formed a range.
We can see a yellow trendline where the price is moving exactly along it.
If this trendline breaks to the downside, we can take a short position targeting the bottom of the channel.
Otherwise, it would mean the trend reversal in DXY is confirmed.
Dollar Index Dips – All Eyes on 97.600?The US Dollar Index (DXY) is currently trading just below the 100.000 🔼 resistance area, following a series of lower highs and lower lows that reflect a clear bearish trend. Price is now approaching the 97.600 🔽 level, which has previously acted as a key turning point and could influence the next directional move.
Support at: 97.600 🔽
Resistance at: 100.000 🔼, 101.500 🔼, 102.812 🔼, 104.223 🔼
🔎 Bias:
🔽 Bearish: The trend remains bearish while price stays below 100.000. A break below 97.600 may lead to further downside continuation.
🔼 Bullish: A bounce from 97.600 followed by a move back above 100.000 could open the door for a recovery toward 101.500.
📛 Disclaimer: This is not financial advice. Trade at your own risk.
USDX at a crucial price point, which will decide trendThe next few candles for USDX price will be extremely important to understand where the dollar index is headed.
Based on that, we'll be able to choose 'which' Forex pairs we can trade, and more importantly 'how' we can trade them.
If price starts to follow the green line, and takes out 99.000, we'll be in an uptrend.
If price goes back to the red line and eventually goes below 96.400, we'll be in a downtrend.
Hopefully price won't consolidate too much, and trend in a particular direction.
Dollar Reversal? Inverse Head & Shoulders Spotted!Is the Dollar Index bottoming out? I break down a potential Inverse Head and Shoulders pattern forming on the DXY chart — a classic reversal setup that could signal a major trend change. See as I analyze the key neckline breakout zone, potential upside targets and golden zone fib support defended confirming the pattern.
I hope you find this informative. Thank you for the boosts, comments and discussions of the idea. Cheers and best wishes on every trade
# USDCHF, #AUDUSD, #USDJPY, #EURUSD, #GBPUSD Forex pairs
Why a USD Bounce Could Trigger a Stock PullbackThe US Dollar has faced brutal selling during the first half of 2025. Some are even questioning whether the Dollar’s global hegemony is at risk. Early in the year the US stock market AMEX:SPY sold off aggressively, falling 19% from mid‑March to early April. Since then stocks have more than regained their losses and the Dollar is still in the tank. So where does that leave us for the rest of the year?
The Dollar Inverse Correlation
The US Dollar has an inverse correlation to most everything. Stocks, bonds, crypto, commodities, real estate — all are measured in Dollars. Therefore when the Dollar loses value, all things equal it takes more of them to reach the same value those assets were denominated at before. Conversely when the Dollar rises, other assets lose value in Dollar terms. Here we can see a long standing inverse correlation to stocks AMEX:SPY
Dollar in oversold territory
The Relative Strength Index (RSI) is a momentum oscillator that measures the magnitude of recent price changes on a scale from 0 to 100 to help identify overbought (above 70) or oversold (below 30) conditions. The Dollar has hit oversold several times so far this year, but not yet staged a material recovery.
Stocks in overbought territory
Meanwhile stocks have staged a blistering rebound off the "Liberation Day" driven selloff earlier this year. The S&P 500 now sits at an all‑time high, and you guessed it, has tapped overbought twice this month.
USD is fundamentally attractive
Because investors seek to earn the highest available yield on their capital, they tend to move funds into currencies offering higher interest rates (and away from those with lower rates), so differences in policy rates across countries create incentives for cross‑border borrowing and lending that drive FX flows. For example the Fed ( ECONOMICS:USINTR ) is at 4.5%, and the ECB ( ECONOMICS:EUINTR ) is at 2.15%. Moreover the Dollar is down significantly against major trading pairs that have lower yields. In our prior example the Dollar is down 11.98% against the Euro YTD (1- FX:EURUSD ), leaving substantial room for capital gains. Gravity could lure FX traders back in the second half of 2025.
Tariff calculus
Tariffs tend to bolster the imposing country’s currency in two main ways: by making imports more expensive they reduce import volumes, improving the trade balance (i.e. fewer foreign‑currency outflows), and by collecting duties in domestic currency the government effectively withdraws that currency from circulation, increasing its relative scarcity. Both effects lift demand for—and support the value of—the home currency.
Putting it all together
Despite the TVC:DXY ’s ~10.8% YTD slide and repeated oversold conditions, the compelling carry trade sets the stage for a USD bounce that, in turn, could pressure overextended equities. With stocks stretched and the Dollar oversold, the carry‑driven rebound in USD could well presage a pullback in equities. Stocks are expensive, Dollars are cheap 🤑
DXY: Strong Bullish Sentiment! Long!
My dear friends,
Today we will analyse DXY together☺️
The in-trend continuation seems likely as the current long-term trend appears to be strong, and price is holding above a key level of 96.722 So a bullish continuation seems plausible, targeting the next high. We should enter on confirmation, and place a stop-loss beyond the recent swing level.
❤️Sending you lots of Love and Hugs❤️
DXY 1D – Tipping Point: News or Price Action?Hey Guys,
The DXY index is currently moving within a downtrend. This trend is unlikely to reverse unless it breaks above the 98.950 level.
Sure, key fundamental data could shift the trend, but without those news catalysts, a reversal at this point doesn’t seem realistic.
Don’t forget—98.950 is a critical threshold for the DXY.
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US Dollar Index - 4h Chart (CAPITALCOM)4-hour chart of the US Dollar Index (DXY) from CAPITALCOM shows the index's recent price movements. The current value is 96.955, with a slight increase of 0.054 (+0.06%). Key levels include a support at 96.413 and resistance at 97.554. The chart highlights buy signals at 97.012 and sell signals at 96.958 and 96.955, with a notable downward trend breaking below a support zone around 97.150.
Bullish reversal?US Dollar Index (DXY) is falling towards the pivot and could bounce to the 1st resistance, which is an overlap resistance.
Pivot: 96.99
1st Support: 96.38
1st Resistance: 97.90
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USD Weakness Ahead (3-Month Outlook)EUR/USD: Breaking 1.0850, next target 1.1000
GBP/USD: Cleared 1.2750, heading toward 1.2950
AUD/USD: Rebounded from 0.6650, potential 0.6850
NZD/USD: Above 0.6150, could reach 0.6300
Key Drivers:
1. Fed likely cutting rates before ECB/BoE/RBNZ
2. Commodity recovery (helps AUD/NZD)
3. Political risks weighing on USD
Market Mood:
- Traders reducing long USD positions
- AUD/NZD shorts getting squeezed
Risks:
US inflation surprises upside
Geopolitical shocks boost USD safe-haven demand
Sasha Charkhchian
US dollar index (DXY) still looks weakAfter finding resistance near my 50-day EMA on the daily chart, TVC:DXY is now showing signs of continued weakness. Let's dig in.
MARKETSCOM:DOLLARINDEX
Let us know what you think in the comments below.
Thank you.
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Dollar Index (DXY): Strong Bearish Price Action
Dollar Index broke and closed below a support line
of a bullish flag pattern on a daily.
Because the market is trading in a bearish trend,
this violation provides a strong bearish signal.
I expect a bearish movement to 96.75
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US Dollar Breakdown – Don’t Fight the FloodSince the start of the year, after forming a small double top around the 110 zone, the US Dollar Index (DXY) has followed only one direction: down.
So far, we’re seeing a decline that’s approaching 15%, with the index breaking multiple major support levels along the way. And judging by the current structure, there’s little reason to believe this trend will reverse any time soon.
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🔍 Short-Term View – Flag Break, More Losses Ahead
Zooming in, we can observe that the last rally was purely corrective — a typical bear flag formation. That flag is now broken to the downside, which confirms renewed bearish pressure and suggests that further losses are likely even in the short term.
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🎯 What’s Next?
The next major support zone sits around 95, a level that should act as a magnet if the current trend continues.
As long as price stays under 100 ZONE, the outlook remains bearish and the strategy should align with that bias.
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✅ Strategy Going Forward
The safe and logical approach now is to buy dips on major USD pairs:
EURUSD, GBPUSD, AUDUSD, and NZDUSD
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📌 Final Thought
The structure is clear, momentum favors the downside, and the market is offering clean setups across multiple USD pairs.
Don’t fight the trend — follow the flow. 🟢