DXY: Dollar Index - 12 day Continuation Pattern Over
DXY Dollar Index
The DXY counter-rally (far left arrow) shows a 12 day
continuation pattern from 1st December to 12th before DXY
falls out of the parallels as the decline continues. The right-
hand arrow also shows a 12 day continuation pattern from 1st
February to 12th before DXY once again loses the parallel and
begins to fall away again. Having broken down through 90.02
it should fall away to the 89.61 line and then begin to put up
more of a fight - can dip to 89.51 and bounce and whipsaw at
89.61 to 89.51 and maybe spike as low as 89.30 but DXY must
hold here at lowest today to avoid another retest of the lows
at 888.72 - 8843 range. So far this DXY rally is no more than a
continuation pattern within the overall downtrend. But Dollar
bulls still have the minor double bottom at 88.50-88.40 on
their side and will likely fight hard to protect these levels
again if retested later this week.
The DXY counter-rally (far left arrow) shows a 12 day
continuation pattern from 1st December to 12th before DXY
falls out of the parallels as the decline continues. The right-
hand arrow also shows a 12 day continuation pattern from 1st
February to 12th before DXY once again loses the parallel and
begins to fall away again. Having broken down through 90.02
it should fall away to the 89.61 line and then begin to put up
more of a fight - can dip to 89.51 and bounce and whipsaw at
89.61 to 89.51 and maybe spike as low as 89.30 but DXY must
hold here at lowest today to avoid another retest of the lows
at 888.72 - 8843 range. So far this DXY rally is no more than a
continuation pattern within the overall downtrend. But Dollar
bulls still have the minor double bottom at 88.50-88.40 on
their side and will likely fight hard to protect these levels
again if retested later this week.
Comment:
CPI Numbers just confirmed the charts...
EURUSD - this was a buy on inverse pattern of DXY and became a reverse/sell back to blue line once the lower parallel was lost
Can stay short dollar all pairs pretty much until it hits the lower parallel or alternatively if wishing to stay with it, until it can get back above (not just spike ) the upper falling parallel (not exactly paarllel yet, but should form better as move develops)