In this chart we can observe how DXY is clearly in a weekly downtrend, with lower timeframes being more volatile but still overall bearish.
I labeled important fibonacci areas and modes of different timeframes in the chart to show where sellers are strong, rejecting price as we move down.
We will probably see a strong move down from this juncture, but if we don't, I'd suggest fading any move up, as long as below 97.05.
Price has tested the previous uptrend mode in the weekly once, before rebounding briefly, but said rebound couldn't go above the downtrend mode above bringing price down sharply.
The last retest of the uptrend mode produced a brief consolidation pattern, which I see as coiling before it springs down again.
Judging by the daily, we can observe there's mode building as we go lower, which is a bearish signal as well.
If the last buy signal on the weekly fails, which would happen if price travels beyond 93.26, then it's safe to assume that we will make it to 90.04 by August ten or earlier.
Good luck!
Ivan.
I labeled important fibonacci areas and modes of different timeframes in the chart to show where sellers are strong, rejecting price as we move down.
We will probably see a strong move down from this juncture, but if we don't, I'd suggest fading any move up, as long as below 97.05.
Price has tested the previous uptrend mode in the weekly once, before rebounding briefly, but said rebound couldn't go above the downtrend mode above bringing price down sharply.
The last retest of the uptrend mode produced a brief consolidation pattern, which I see as coiling before it springs down again.
Judging by the daily, we can observe there's mode building as we go lower, which is a bearish signal as well.
If the last buy signal on the weekly fails, which would happen if price travels beyond 93.26, then it's safe to assume that we will make it to 90.04 by August ten or earlier.
Good luck!
Ivan.
