Dollar Double Bottom or Breaking Support? 8/5/2020
This is the dollar strength at the 8 hour view.
The DXY may have formed a possible double bottom pattern... for now. I wouldn't bet my money on it.
The DXY is at a decision point right now. Either the dollar bounces from that double bottom and towards the middle or top of the downward channel or crash through a long-term support (blue line).
However, if the dollar bounces hard, the ultimate trajectory is downwards. It's been in a downward channel since April 2020 with no end in sight.
I'm waiting on the dollar to make that decision so I can determine when to enter into gold or silver. The best scenario? The dollar bounces hard to about 94-95. That would provide a good enough pullback in gold and silver. Thus, that may provide an optimal entry point for precious metals before the dollar resumes its downfall.
The DXY may have formed a possible double bottom pattern... for now. I wouldn't bet my money on it.
The DXY is at a decision point right now. Either the dollar bounces from that double bottom and towards the middle or top of the downward channel or crash through a long-term support (blue line).
However, if the dollar bounces hard, the ultimate trajectory is downwards. It's been in a downward channel since April 2020 with no end in sight.
I'm waiting on the dollar to make that decision so I can determine when to enter into gold or silver. The best scenario? The dollar bounces hard to about 94-95. That would provide a good enough pullback in gold and silver. Thus, that may provide an optimal entry point for precious metals before the dollar resumes its downfall.
Comment:
I don't know why that blue line shifted lower at the 8 hour view, but it's perfect at the 1 hour view...