There is a wave count that goes up to 9 based on Elliot Wave Theory, it would be nice to have it here.
The max count on TradingView is 5 yet there are longer waves.
Last week closed bearish for the DXY and this week trades below 0.382 Fib. retracement level.
The MACD went below zero and the RSI dropped below 50.
I didn't sense a strong bearish bias when I looked at this chart to be honest, I just wanted to draw the 9 count.
After the 9 up wave what follows is a correction, in this case a Zig-zag, and this can fit here.
It needs confirmation because the (b) wave of the Zig-zag can go higher before moving lower.
For example, something like this:
From the September peak we have a confirmed correction and thus the bounce at 0.5 Fib. can be just a dead cat bounce, it is more than possible to see this index moving lower.
That's all.
Thank you for reading.
Namaste.
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The DXY has moved below all moving averages on the daily timeframe:
It seems that this drop is getting ready to gain speed; bearish momentum building up.
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I looked at the daily and weekly timeframes and the DXY index is set to continue lower.
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Nothing changes. Looking at the 3D chart for the DXY it continues aiming lower:
✔️ The MACD curving down already below zero. ✔️ The RSI below 50. ✔️ Current session trading below EMA10.