Yesterday I tried to post a chart for EU sell but ended up posting my DXY chart because I was using the 3 chart layout so I decided to just post my DXY chart again. If you refer to my post yesterday I was expecting a reaction that played out exactly to my line I was anticipating. Since price didn't spend alot of time at my zone I'm seeing bullish momentum to retrace for the rest of the week. The DXY has been bearish since monday and it seems due for some type of retracement. Dropping to the 1hr chart I want to start to look for levels thhat the DXY would possibly retrace to so I start Identifying old highs for price to take out. The green rectangles are obvious highs I would like to see taken out while lows are being respected. I would only buy after a high is taken out and no new lower low is created respecting swing lows {creating higher lows). I would only buy up to the 50% retracement of this current price swing because at 50% I would start to change my bias to sell. My reason for the sells is because the DXY is in an overall downtrend on higher timeframes so this would be a short term buy. Another reason is we had a head and shoulders pattern respect a previous support turned resistance so not only is the supported turned resistance playing a factor but the head and shoulders pattern as well. Lastly there is a gap at a break of a low identified with the blue rectangle. That is where I want to see prie return to and close the gap to keep selling down. WIth that being said I will be looking to buy USDXXX pairs and selling XXXUSD pairs that have setups until DXY reaches the 50% retracement then flip my bias.
Chart PatternsHead and ShouldersTrend Analysis

يعمل أيضًا:

إخلاء المسؤولية