A LOW-PROBABILITY RALLY:
At this point, USDollar index has reached a significant entrenchment level. Transgression of this level would open the roof up to higher-highs, starting with a probable as a point of termination for a 5th wave. However, what is occurring at the moment resembles more an 5th wave truncation.
Predictive/forecasting model is turning to the bear side at this moment and provides its own targets, as follow:
1 - TG-Lo = 89.27 - 11 FEB 2015
2 - TG-Lox = 88.26 - 11 FEB 2015
Internal to the Wave's presumed truncation is the geometric development of a Triple-Top pattern, composed of an initial down-swing parabola, followed by a deeper-swing parabola.
This pattern is better known as a Kiss of Death ("KoD"), carrying some probability of sending price down to a level that should be lower than the lowest of the two parabola.
As the KoD defines its nadir at 93.26, this level aligns with a prior structural-top, this defining the resistance-turned-support ("R/S") mantra of a classic level. This level could well be kept in sight by the most conservative player, although a bolder trade is offered by a richer RR ratio from the current level in which KoD completed (point-3 in purple).
Standard geometry (triple-top), (KoD) and proprietary model are favoring a decline from this level. A break of 95.48 level should serve as a trigger to abandon any immediate scenario. However, the current level offers a generous RR that would be hard to resist.
If price did roll in the direction that would breach the nadir of KoD, it would effectively define a new structural level confirming a directional bias and thus opening the floor to stilll distant prop targets.
Predictive Analysis & Forecasting
Denver, Colorado - USA
If you are looking at one in particular, the mid-segment between points 4 and 5 offers a probable NODE or nodule, depending whether the retracement from bottom of geometry to top represents a 0.382 retracement relative to Point-4.
$DXY - Significant push-back at bearish entrenchment level of 95.00; Bearish outlook:
@tradingview $USD #usdollar
$DXY eyes yet another bullish elan; 95.23 Bears strongest; Bearish tgts intact; Invalid > 95.48:
$DXY fell as forecast; Now stomped at 0.618 #fibonacci; Consolidation to 95.00 possible:
@tradingview $USD #forex