USD Indx - Should we long USD in general? Is it a pivot point?

INDEX:DXY   U.S. Dollar Index
86 3 2
Let's try to look at it from pure technical perspective.

Daily: USD Indx             had a nice rally from the lows at 79, and quite a correction from the top at 81. What do the indicators show now?
Ichimoku components: Price is at the Kumo, two days ago the bottom of teh cloud provided a good support. Tenkan below Kijun, but bothe lines are above the Kumo. Chikou Span is below price and in the Kumo. This is a hard situation, but in general until the Price doesn't break below the Kumo, we can not consider it as bearish . Actually it has become neutral now after the corrective counter wave.
Meanwhile Slow Stoch became oversold, and yesterday gave a buy signal, MACD may slowly turn up again. DMI is neutral/bearish, but can easily give a bullish cross.

As I marked on the chart, it is very similar to the Kumo retest and reversal that happened in early April on the other side. From these levels I give a bigger chance for a spike up, then for a further dip. What we have to look for now is the lower, 4 Hrs             time frame. In case price can not print a lower low there, which also means price would not break below the Kumo on daily chart , then Bulls may get back in control.
The important levels are clear: lower suppoprt is 79,75. Upper resistances are 80,21 / 80,39.

My recommendation is to wait for one more dip within current daily Kumo, watch if price prints a lower low on 4 Hrs             , and if not, then start to build long positions in smaller clips. Later if we see a clear bullish break on 4 Hrs             (which will be likely supported by daily technicals too by then), size up the longs.

p.s.: Today is going to be important, since the EURUSD             is the major component within USD Indx             , and again there is a good chance Draghi will try to talk EURUSD             lower somehow.
More stock analysis of such please :) And you check DMI? You find it better than RSI or CCI? I find using DMI separately from those a bit more false leading as it tends to wave here and there too much. But with Ichimoku should be give better signals
I find DMI very useful as an additional indicator to Ichimoku. Espec on 4 Hrs time frame.
Regarding stocks I am happy to publish more if you want, but as some guys already know I am quite bearish biased there :-). And stocks can not go anywhere else just up up and up, right? ;-)

I have a friend, who had a funny theory a few years ago: Interest rates will go to zero, volatility will go to zero, thus stock and stock index prices will fly to infinity and beyond :-D. Will he be right?
2use Kumowizard
Sweden had it interest rate lowered 60% today....Still, i am not looking for bullish charts only, i am looking for an idea that is supported by good grounds. If i disagree, i won't take it - if i find it correct, i will take it in account. And best of all - if your predictions are successful, none can say you were wrong.
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out