DXY USD - SHORT - Flag + Supply&Demand
The USD now dominates the market with huge weighting and the analysis of the future movement is essential, for all other tradable currencies and asset classes.
I provide the idea, with the consideration of rules of the "SUPPLY&DEMAND" theory, which focuses on the market influence of banks.
CURRENT STATUS:
- the DXY is in a flag, which is normally a "Bullish pattern".
- the existing macroeconomic circumstance suggests a trend continuation.
From a daily perspective, we have broken out of an upward channel, which has not been tested at this point.
- in order for the DXY to continue its rally, it would be healthy to test the channel for confirmation beforehand.
If this does not happen, the trend will continue and allow a LONG position. - for this, please consider the "LONG scenario" of mine.
IDEA VIEW:
- we are in the 15 min chart, with which we look at the market from the view of a magnifying glass. - the bullish flag could break out in the opposite direction and would thus allow a SHORT position.
- the idea refers to an early position entry to take the whole movement with less risk (fake out)
All RETAIL market participants assume a trend continuation, which provides a large amount of liquidity for the large speculators / banks.
- in my opinion, it would be quite lucrative to take this liquidity before a further trend continuation (= SHORT / correction)
STOP LEVEL:
- should the SL level (stop loss) set by me be broken, we can expect a trend continuation after a confirmation. (Should it not be a fake-out).
- Drawn in the chart to follow.
TAKE PROFIT:
- there are large "DEMAND" zones at the 0.88 FIBO (111.50 - 111.00) on the time levels 1-4h, which should bring about a counter reaction.
- drawn in the chart to follow.
Should you disagree, feel free to let me know - I am still in the learning process.
Thank you and a successful trading!
Translated with www.DeepL.com/Translator (free version)
I provide the idea, with the consideration of rules of the "SUPPLY&DEMAND" theory, which focuses on the market influence of banks.
CURRENT STATUS:
- the DXY is in a flag, which is normally a "Bullish pattern".
- the existing macroeconomic circumstance suggests a trend continuation.
From a daily perspective, we have broken out of an upward channel, which has not been tested at this point.
- in order for the DXY to continue its rally, it would be healthy to test the channel for confirmation beforehand.
If this does not happen, the trend will continue and allow a LONG position. - for this, please consider the "LONG scenario" of mine.
IDEA VIEW:
- we are in the 15 min chart, with which we look at the market from the view of a magnifying glass. - the bullish flag could break out in the opposite direction and would thus allow a SHORT position.
- the idea refers to an early position entry to take the whole movement with less risk (fake out)
All RETAIL market participants assume a trend continuation, which provides a large amount of liquidity for the large speculators / banks.
- in my opinion, it would be quite lucrative to take this liquidity before a further trend continuation (= SHORT / correction)
STOP LEVEL:
- should the SL level (stop loss) set by me be broken, we can expect a trend continuation after a confirmation. (Should it not be a fake-out).
- Drawn in the chart to follow.
TAKE PROFIT:
- there are large "DEMAND" zones at the 0.88 FIBO (111.50 - 111.00) on the time levels 1-4h, which should bring about a counter reaction.
- drawn in the chart to follow.
Should you disagree, feel free to let me know - I am still in the learning process.
Thank you and a successful trading!
Translated with www.DeepL.com/Translator (free version)
Trade active:
The daily candle is closed and now reflects a "Bearish-Engulfing" candle:
= Bearish signal, with which we can expect a further down-sale after the pullback.
= Breathe a sigh of relief for the markets should another "Bearish" candle confirm the "Engulfing".
SHORT Trade for the DXY:
- Test of the triangel and also the 0,618 FIB of the top to the bottom.
= Bearish signal, with which we can expect a further down-sale after the pullback.
= Breathe a sigh of relief for the markets should another "Bearish" candle confirm the "Engulfing".
SHORT Trade for the DXY:
- Test of the triangel and also the 0,618 FIB of the top to the bottom.
Trade closed manually:
With this week and the upcoming FED policy regarding the USD, should be refrained from shorting the DXY for now.
- the trade is closed - new idea follows!
- the trade is closed - new idea follows!