USDOLLAR - The Diagonal Is Almost Complete

Jul 5

The US Dollar has been tracing a contracting diagonal since the 2022 top.

Each leg has shrunk - wave (1) bigger than (3), wave (3) bigger than the projected (5). Textbook contraction.

We're now finishing wave (4) into the 0.382–0.5 retracement and the upper diagonal trendline. Wave (5) is the final leg down, targeting the lower trendline around 12,400.

Diagonals are terminal patterns. Once wave (5) completes, the reversal is sharp - the move most won't be positioned for.

Dollar weakness into year-end, then the snapback.

Goodluck and as always, trade safe!

Jul 5

Note

The breakdown 👇

USDOLLAR has been carving a diagonal since 2022.

We're in the final wave (4) → wave (5) is the last leg down.

Contracting into year-end, then the reversal.