DXY is currently sitting around a strong support area. WHAT NEXT?
DXY is overall bullish trading inside the orange channel so we will be looking for Trend-Following Buy setups as it approaches our lower orange trendlines.
Moreover, the green area is a "Resistance turned into Support" which adds confluence to our bullish speculation.
So as mentioned, we will zoom in to lower timeframes and look for potential buy setups and triggers, knowing that DXY can trade lower and dive inside the green zone till the lower bound of the orange trendlines before going up.
As per my trading style:
I will be looking for bullish reversal setups like a double bottom pattern, trendline break, and so on...
Always follow your trading plan regarding entry, risk management, and trade management.
Unless DXY breaks below the green zone aggressively, which will invalidate our analysis, and the momentum would be shifted from bullish to bearish, then we will adjust accordingly.
And of course, as DXY approaches the upper orange trendlines and green resistance, we will be looking for sell setups on lower timeframes.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
DXY is overall bullish trading inside the orange channel so we will be looking for Trend-Following Buy setups as it approaches our lower orange trendlines.
Moreover, the green area is a "Resistance turned into Support" which adds confluence to our bullish speculation.
So as mentioned, we will zoom in to lower timeframes and look for potential buy setups and triggers, knowing that DXY can trade lower and dive inside the green zone till the lower bound of the orange trendlines before going up.
As per my trading style:
I will be looking for bullish reversal setups like a double bottom pattern, trendline break, and so on...
Always follow your trading plan regarding entry, risk management, and trade management.
Unless DXY breaks below the green zone aggressively, which will invalidate our analysis, and the momentum would be shifted from bullish to bearish, then we will adjust accordingly.
And of course, as DXY approaches the upper orange trendlines and green resistance, we will be looking for sell setups on lower timeframes.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich