DXY is overall bullish trading inside the red channel so we will be looking for Trend-Following Buy setups as (if) it approaches our lower red trendline. Knowing that DXY can still trade higher from here, to reach 94.0.
Here are the two strong zones where I will be looking for high probability setups:
I call them War Zones, (highlighted in Purple circles)
Zone 1: (92-92.5)
This highlighted purple circle is a strong area to look for buy setups as it is the intersection of the previous blue support and lower red trendline. (trend-following setup)
Zone 2: (94-94.5)
This highlighted purple circle is a strong area to look for sell setups as it is the intersection of the green resistance and upper red trendline. (over-bought / over-extended area)
As per my trading style:
As DXY approaches one of the purple circles, I will be looking for reversal buy/sell setups (like a double bottom /top pattern, trendline break, and so on...)
Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
Here are the two strong zones where I will be looking for high probability setups:
I call them War Zones, (highlighted in Purple circles)
Zone 1: (92-92.5)
This highlighted purple circle is a strong area to look for buy setups as it is the intersection of the previous blue support and lower red trendline. (trend-following setup)
Zone 2: (94-94.5)
This highlighted purple circle is a strong area to look for sell setups as it is the intersection of the green resistance and upper red trendline. (over-bought / over-extended area)
As per my trading style:
As DXY approaches one of the purple circles, I will be looking for reversal buy/sell setups (like a double bottom /top pattern, trendline break, and so on...)
Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich