US Dollar Index faces inraday resistance around 100.00 handle

US Dollar Index might have finally terminated Wave 2 triangle at 100.40 handle last week. The index reversed sharply towards 99.10 levels before finding some support. At a lower degree, the US Dollar Index might have carved wave i at 99.10 and could be carving a potential wave ii around 100.00 levels as we write the article. If the short terms counts are correct, we should see a sharp bearish reversal towards 97.00 levels as lower degree wave iii unfolds. The index had earlier dropped from 103.00 through 98.27 levels, Wave 1 on the chart here. Wave 2 remained sideways for several trading sessions, finally terminating as a triangle around 100.40 handle. Ideally prices should stay below 100.40 if a similar degree Wave 3 is underway. Overall, US Dollar Index remains bearish until 103.00 highs remain intact.

Strategy:

Short against 103.00, targeting below 94.00

Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.

Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.