The green lines represents the weekly down channel that the pair has remained in since June/July of 2014. With the daily looking finally like a change in direction, with lower highs in place but yet to by pass a higher higher, its looking like its decision time. The blue channel is the channel which we have currently been in since the end of Nov 2015. We have been rejected multiple times off the .068 level on a daily perspective,and have divergence occurring on the MACD and RSI on the 2HR time frame. Targets are listed. If breached I have my S/L above the top of the weekly downtrend and above the last previous high and would then buy the breakout out of this weekly down channel given confirmation on the daily.
Comments
p3lonis
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We have finally reached and penetrated the top of the channel, now I will follow price action. We are in area that has been sold heavily in the past, my positions are in and I am waiting to see outcome. Right now on the 4hr, we have divergences on the RSI and MACD. We also can a small trend decline in DMI, showing strength in the trend is falling slowly off.
p3lonis
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p3lonis
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We did go and test the previous highs, and failed to clear this .068 level once again. Bull flag or fake out? Will this support, highlighted by the blue box, be able to save the bulls? Will wait for confirmation, if broken I will be relieved, but if the bull flag holds true, ill put on a few longs to provide a minor cover just in case :P
p3lonis
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Lets she how she plays
p3lonis
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Complete failure on this one. DXY sold off allowing the pair to rip up to test that .68 level again. Will post a updated chart with new divergences and short term goal.