The U.S. Dollar Index (DXY) has been somewhat consolidating lately in the past 2 weeks. Last time we warned that upon a pending Death Cross on the 1D time-frame, more pain would come:
It appears that we caught the exact high before a new round of selling on the USD. To maintain a broad perspective, it is useful now to look at the last two times it formed a 1D Death Cross. As you see the drop from the moment of the Death Cross until the bottom was fairly similar, -9.75% and -8.75%. An average drop of this, sets the target on the current Death Cross drop to around 96.000.
The 1W RSI offers a good perspective as to when the price hits the middle of this drop and that is when the RSI makes the first rebound after reaching the 30.000 oversold level. In those 2 past occurrences, it made one last rebound back above the 1D MA50 (blue trend-line) before dropping towards its bottom.
FED was not raising rates during this time period. I'm expecting a DXY bounce here, but if your scenario plays out, we've got bigger problems!
BitMango
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charting like this is redundant because: - money printing
you need to look back a lot further on the DXY. I see so many rookie chartists looking back over the last ten years and using that as a basis for predictions. Newsflash, that was the tail end of a 40 years bull market with a bunch of qe market manipulation to blow the top off. People need to get a sense of perspective and lose the desperation.
byStoyan
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Accurate forecast. Well done!
ProjectSyndicate
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perfectly done trade in the green zone today
vt_tj
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not this time.
Elefant-Schnitzel
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Very proficient charting here... Dollar will struggle around and dump on the official news release of .25 basis pt hike... Bitcoin is in for at least a large move up in other words, a real crypto bear market rally if it is not the start of a bull cycle up to recent ATH or slightly higher for the blow off.