If DXY trend is to continue then we need to test 94.80 Level
If DXY strength is to continue we need to test the 94.80 area before we power up again . If not then there is higher probability that it will run out of steam and collapse as usual. We need to have more Dollar Bulls and Less EURO Bulls for it to power up.
Next Week starting Sunday 12/08/2018 at 5:00 pm EST:
Look for EURUSD recovery to around 1.1550 before we continue downtrend if it fails again
Look for signs of pain from EM currencies and the spoiled child called Italy. If that dies down then the Dollar will collapse.
Look for FX Options and barriers below 1.1400s , if we have a lot of them with size over 1.0 bn then expect EURUSD to stay below 1.1400s for an extended period.
Trading Plan for EURUSD: Expect DXY to move back to 95.10 to 94.80 area in the next 2 to 3 weeks
RELIEF RALLY:
Buy EURUSD at 1.1380 to 1.1420
Exit at anywhere above 1:1550
If the relief rally fails before 1.1550 , then SELL and exit when we reach below 1.1450.
Currently EURUSD is stuck in the area 1.1380 to 1.1400
Next Week starting Sunday 12/08/2018 at 5:00 pm EST:
Look for EURUSD recovery to around 1.1550 before we continue downtrend if it fails again
Look for signs of pain from EM currencies and the spoiled child called Italy. If that dies down then the Dollar will collapse.
Look for FX Options and barriers below 1.1400s , if we have a lot of them with size over 1.0 bn then expect EURUSD to stay below 1.1400s for an extended period.
Trading Plan for EURUSD: Expect DXY to move back to 95.10 to 94.80 area in the next 2 to 3 weeks
RELIEF RALLY:
Buy EURUSD at 1.1380 to 1.1420
Exit at anywhere above 1:1550
If the relief rally fails before 1.1550 , then SELL and exit when we reach below 1.1450.
Currently EURUSD is stuck in the area 1.1380 to 1.1400