CJ_GOLDPIPS

DXY 3 MONTH OUTLOOK

Short
TVC:DXY   U.S. Dollar Index
As seen from a technical standpoint, the dollar has been on an upward climb this year respecting the bullish market structure on the higher timeframes with minor retest. Backed with fundamentals of the federal reserve with constant rate hikes to beat inflation pushing DXY to a high of 114.9 region. We are currently seeing a shift in structure now as the bullish market structure has been broken and with the feds hinting a slowdown of rate hikes in the coming months to come, we may see the dollar head lower into the key monthly support as marked out coming into the end of the year 2022 and heading into Q1 of 2023. Key monthly support is also the 0.5 Fibonacci retracement zone where the dollar might retest before heading up higher again probably in Q2 of 2023. Now this would mean 2 things. If the DXY drops as per analyzed whereby both technical and fundamental stand points support it, i will be bullish on Crypto and Gold in the short term (3 months - 4 months). We will be adapting to the bullish momentum after playing shorts through this year. However, keeping in mind of the economic sentiment that we are still in a crisis and is still a long way from recovery.

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