DXY LONG FROM RISING SUPPORT|
✅DXY is trading in an uptrend
Along the rising support line
Which makes me bullish biased
And the pair is about to retest the rising support
Thus, a rebound and a move up is expected
With the target of retesting the level above at 98.000
LONG🚀
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Index
NIKKEI Will Keep Growing! Buy!
Hello,Traders!
NIKKEI is trading in a
Strong uptrend and the
Pair made a bullish breakout
Of the key horizontal level
Of 42,500 and the breakout
Is confirmed so we are bullish
Biased and we will be expecting
A further bullish move up
Buy!
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DXY: Dollar’s ready, but the starter pistol’s still silentDXY is holding in the 97.50–97.60 support zone, an area where buyers have stepped in multiple times. Current market structure suggests possible liquidity accumulation before an upside move. The key tactical trigger is a breakout and close above 98.76, opening the path to 100.28, then 101.84 where historical selling pressure has emerged. The long-term target, if all levels break in sequence, is 104.40. While price remains below 98.76, buyers have no confirmed advantage and any rally remains speculative.
Fundamentally , the dollar lacks unconditional support: US macro data is mixed and Fed policy remains uncertain. However, safe-haven demand and cautious risk positioning by large players create a backdrop for a potential upward correction.
Tactical plan: watch 97.50–97.60, a confirmed break above 98.76 activates a move towards 100.28 → 101.84 → 104.40. Failure to break cancels the idea until a fresh impulse emerges.
The dollar right now is like a boxer before stepping into the ring - warmed up, focused, but waiting for the bell.
DXY Is Still Bearish; Final Leg Of The Wedge Pattern?DXY Is Still Bearish, but it can be trading in final leg of ending diagonal a.k.a. wedge pattern from technical and Elliott wave perspective.
US Dollar Index – DXY made only a three-wave rise from the lows, which indicates for a correction within downtrend. So recovery can basically still be a fourth wave rally, just a bit deeper one that can still belong to an ending diagonal a.k.a. wedge pattern. Final wave “v” of 5 can be still missing, so be aware of a continuation lower within a new three-wave abc decline, especially if breaks below the lower side of the corrective channel near 97.70 level.
US30 Short This trade is massively overbought on all timeframes and at the all-time high with very good resistance
There is a crab pattern on H1 and H4
Multiple tops on M15 and M30 are showing massive divergence
stoploss above 150 pips
This is against the trend so will have to monitor when it is time to exit
US100 Bullish Breakout! Buy!
Hello,Traders!
US100 is trading in a
Strong uptrend and the
Index made a strong bullish
Breakout of the key horizontal
Level of 23,720 which is now
A support and the breakout
Is confirmed so we are
Bullish biased and we will
Be expecting a further
Bullish continuation
Buy!
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Think of RSI like a car’s speedometer: The speed (RSI) changes b"Think of RSI like a car’s speedometer:
The speed (RSI) changes before the position (price) changes direction."
1. What RSI actually is?
RSI (Relative Strength Index) is just a math transformation of price data.
It measures the ratio of recent upward moves to downward moves over a period (often 14 candles) and compresses it into a 0–100 scale.
2. Why RSI sometimes “moves first”
This isn’t magic — it’s because RSI is sensitive to the speed and size of recent price changes, not just direction.
- If price is still going up but at a slower pace, RSI can already start turning down.
- If price is falling more gently than before, RSI can start curling up before price actually reverses.
3. Why traders care about RSI reversals?
- If RSI starts turning down from an overbought level while price is still climbing, it can be an early warning of a possible price top.
- Same for the opposite: RSI turning up from oversold while price still dips can signal an upcoming bounce.
4. RSI above or below 50
50 on the RSI is the “momentum neutral” line.
- When RSI is above 50, recent gains outweigh recent losses → momentum is bullish.
- When RSI is below 50, recent losses outweigh recent gains → momentum is bearish.
5. The “delay” you see
The delay is more about your eyes than the math:
- RSI smooths recent price moves (average gains/losses), so it reacts slightly ahead to changes in momentum.
- Price must actually reverse for you to “see” it, but RSI reflects that change in momentum first.
- Think of RSI like a car’s speedometer:
The speed (RSI) changes before the position (price) changes direction.
6. How to deal with noise* in RSI?
Use higher timeframes (1D, 1W, 1M) to confirm signals from small charts.
*Noise in trading = small, random price movements that don’t reflect the bigger trend.
On a 1-minute or 5-minute chart, there’s a lot of this — caused by scalpers, bots, spreads, liquidity gaps, and normal market “chatter.”
DAX WILL GO UP|LONG|
✅DAX is going up now
And the index made a
Breakout of the key horizontal
Level of 24,100 which is
Now a support then
Made a retest and a is now
Making a rebound already so
We are bullish biased and we
Will be expecting a further
Bullish move up
LONG🚀
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NIKKEI WILL KEEP GROWING|LONG|
✅NIKKEI is trading in an uptrend
And the index was making a bearish correction
But it has now retested a horizontal support level of 40,500
From where we are already seeing a bullish
Reaction and I am expecting the index to go further up
LONG🚀
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DAX Potential Short! Sell!
Hello,Traders!
DAX went up nicely
But is now about to hit
A horizontal resistance
Around 24,000 so after
The retest we will be
Expecting a local pullback
Sell!
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The Ghost of 1986-1987 Stock Market Overlay onto $IWMThe 1986-1987 stock market advance was 48% as measured by the S&P500 Index SP:SPX from the low in late 1986 which peaked in August 1987 and crashed into October 19th's spectacular 20% decline in one day.
The advance in the Russell 2000 Index from the low in 2023 to the high in 2024 was 51%, topping the 48% gain in the SP:SPX and the meltdown wasn't as spectacular, but it was similar.
There were similar patterns in fears of trade wars, US dollar declines, new tax laws going into effect back then and tax laws sunsetting this time. Those you can go into by reviewing my other charts I have published over the years here.
I stretched the 1987 pattern to fit the low to the high, so it isn't "exactly" the same time day-to-day for this pattern.
I found it interesting because the chart of AMEX:IWM all by itself had the same "look" to me as the 1987 bull market and crash so I decided to put it together for you all here to see.
I would expect a choppy market from here on as people adjust to the new uncertainties. Sellers of this decline will be shy to reinvest anytime soon and buyers are likely afraid to step up and get aggressive with so much uncertainty.
Sentiment as measured by AAII shows an extremely fearful and reluctant investor class, which is typical to see at major market bottoms.
Wishing everyone peace and prosperity!
Tim West
11:17AM EST April 24, 2025
ES | SP500 - Weekly Recap & Gameplan - 03/08/25📈 Market Context:
Traders are currently anticipating a possible 0.25% rate cut during the upcoming September FOMC meeting, which continues to support the broader bullish framework.
Although the market pulled back after the Non-Farm Employment Change data came in below expectations, overall optimism remains.
Sentiment has now cooled off from last week's greed and shifted to a more neutral stance. Historically, August tends to bring some chop and pullbacks, but the structural bias still leans bullish.
🧾 Weekly Recap:
• ES kicked off the week with strong upward momentum, climbing steadily into Thursday.
• Along the way, price swept a key 4H swing high, breaking into new highs before initiating a retracement.
• This price action hinted at a short-term distribution and possible liquidity grab ahead of a correction.
📌 Technical Outlook & Game Plan:
→ I'm anticipating a move into the Monthly Fair Value Gap — a high-probability liquidity zone on my radar.
→ That area could act as a springboard for bullish continuation or at least provide a strong reaction.
→ Until that happens, I remain short-biased targeting the 6226$ zone, which I've marked as a major level.
🎯 Setup Trigger:
Once price taps 6226$, I'll monitor for:
• Clear break of structure on the 4H and 1H timeframes
• Formation of new demand zones indicating potential reversal
→ On confirmation from the lower timeframes, I’ll shift my focus toward long setups, potentially targeting new highs.
📋 Trade Management:
• Stoploss: Below the demand zone formed on 1H–4H
• Target: I’ll trail my stop to lock in profits as price moves higher
• Note: Although I’ll be watching for ATH retests, I plan to manage risk actively and book profits along the way
💬 Like, follow, and comment if this breakdown supports your trading! I’ll be sharing more detailed setups and educational posts — stay connected!
US Dollar Index (DXY) – 4H Chart AnalysisUS Dollar Index (DXY) – 4H Chart Analysis
**Current Trend:** Bearish
Price trades below EMAs, Ichimoku Cloud, and within a bearish channel.
#**Bearish Scenario (Favorable)**
* **Conditions:**
* Price remains below EMA 7 & 21
* Stays under Ichimoku Cloud and 96.812 resistance (R1)
* Lower lows forming, bearish momentum increasing
* **Confirmation:**
Break below **96.37 (blue zone)**
* **Target:**
* TP1: 96.00
* TP2: 95.60 (next weak support)
**Bullish Scenario (Reversal)**
* **Conditions:**
* Price must break above **96.81 (EMA 7 + resistance)**
* Break above **R1 → 96.90**, and then above **R2 → 97.14–97.19**
* Bullish candles close above the Ichimoku cloud
* **Confirmation:**
Break and retest of **97.20**
* **Target:**
* TP1: 97.39
* TP2: 97.58 (key structure)
* TP3: 98.00 (major resistance)
**Bias:** Bearish unless DXY breaks above **97.20** with strong volume and bullish structure.
DXY Chart Outlook: Trend, Support, and Price Objectives**DXY Chart Outlook: Trend, Support, and Price Objectives (Reworded Analysis)**
**Trend Overview**
* The DXY chart reflects a **clear upward trajectory**, characterized by a sequence of **ascending highs and higher lows** — a classic sign of bullish momentum.
* Currently, the price is **retracing toward the 50-day EMA**, which appears to be holding as **dynamic support**.
* Two important **horizontal support zones** are marked:
* **Support 1 (S1):** \~97.400 (aligned with EMA-50)
* **Support 2 (S2):** \~96.800 (a deeper correction level)
**Projected Price Zones**
* **Near-Term Objective:** **98.800 to 99.000**
* A rebound from the EMA or S1 could send price higher toward this zone, continuing the current bullish structure.
* **Mid-Term Target:** **99.200 to 99.400**
* If the price successfully clears the 99.000 resistance, further bullish continuation could aim for this intermediate target range.
* **Extended Target:** **100.000+**
* A sustained breakout beyond 99.400 could open the path toward **psychological resistance at 100.000**, possibly higher on strong momentum.
**Support Zones to Watch**
* **S1 (97.400):** This level coincides with the 50-day EMA and represents a **first line of defense**.
* **S2 (96.800):** Should the price fall below S1, this secondary level could provide **stronger support** and potential bounce opportunity.
**Risk Management**
* Consider placing a **protective stop** just below S2 — around **96.500** — to safeguard against a potential trend reversal or deeper correction.
**Summary**
* The DXY remains **technically bullish**, with potential upside targets at **98.800**, **99.400**, and eventually **100.000+**.
* Traders can monitor **S1 and S2** for potential entries or trend confirmation.
* A **breakdown below 96.500** would invalidate the bullish setup and warrant caution.
Deep Dive Into Relative Strength Index (RSI)The Relative Strength Index (RSI) is a momentum oscillator developed by J. Welles Wilder Jr. that measures the speed and magnitude of price changes.
Introduction
In the world of trading, timing is everything — and few indicators have stood the test of time like the Relative Strength Index (RSI). Introduced by J. Welles Wilder in 1978, the RSI is a momentum oscillator that helps traders evaluate the strength and speed of price movements. Whether you're trading stocks, forex, or crypto, understanding how RSI is calculated and how to interpret its signals can give you a critical edge.
In this article, we’ll break down exactly how the RSI works, explore its formula, and dive into practical ways you can incorporate it into your trading strategies. From spotting potential reversals to identifying overbought and oversold conditions, the RSI remains a cornerstone of technical analysis — but only if you know how to use it properly.
Let’s explore the mechanics and the mindset behind this powerful indicator.
What Is RSI and How Is It Calculated?
The Relative Strength Index (RSI) is a momentum oscillator that measures the speed and change of price movements over a defined period. It outputs a value between 0 and 100, which helps traders determine whether an asset is overbought or oversold.
The default RSI setting uses a 14-period lookback window and is calculated with the following steps:
🔷Calculate the average gain and loss over the last 14 periods:
Average Gain = Sum of all gains over the past 14 periods / 14
Average Loss = Sum of all losses over the past 14 periods / 14
🔷Compute the Relative Strength (RS):
RS = Average Gain / Average Loss
🔷Apply the RSI formula:
RSI=100−(100/(1+RS))
The result is a single number between 0 and 100 that indicates the asset's momentum.
How to Use RSI in Trading Strategies
⚡️Overbought and Oversold Conditions Strategy
RSI > 70 typically signals that an asset may be overbought and due for a pullback.
RSI < 30 suggests the asset might be oversold, potentially primed for a bounce.
However, these levels aren’t absolute sell or buy signals. In strong trends, RSI can stay overbought or oversold for extended periods.
📈Long Trading Strategy Example:
1. Identify the major trend, to find the long trades it shall be uptrend. On the screen below you can see 1D time frame for BITMART:BTCUSDT.P .
2. Move to lower time frame (in our case 4h) and find the moment when RSI falls below 30. This is our oversold condition and we are going to look for long trade.
3. Find the local support zone and open long trade.
4. Take profit when price reaches resistance level next to the previous swing high
5. Don’t forget to put initial stop loss when enter position. The best stop loss which will give you 3:1 risk to reward ratio.
📉Short Trading Strategy Example
1. Identify the major trend, to find the short trades it shall be downtrend. On the screen below you can see 1D time frame for BITMART:ETHUSDT.P .
2. Move to lower time frame (in our case 4h) and find the moment when RSI grows above 70. This is our overbought condition and we are going to look for short trade.
3. Find the local resistance zone and open short trade.
4. Take profit when price reaches support level next to the previous swing low
5. Don’t forget to put initial stop loss when enter position. The best stop loss which will give you 3:1 risk to reward ratio.
⚡️RSI Breakout Strategy
RSI is breaking through 60 indicating bullish momentum shift if the long-term trend is bullish can be the potential long signal
RSI is breaking down 40 indicating bearish momentum shift if the long-term trend is bearish can be the potential short signal
This strategy works great only on the trending market, don’t use it on the range bounded market to avoid whiplashes.
📈Long trading strategy example:
1. Make sure that long-term trend is bullish. Use 200 period EMA as its approximation. If price remains above it we can look for potential long trade setup.
2. If RSI crossed above the level 60 open long trade.
3. Put the initial stop-loss under the signal candle’s low.
4. Take profit when price reached 3:1 risk-to-reward ratio.
📉Short trading strategy example
1. Make sure that long-term trend is bearish. Use 200 period EMA as it’s approximation. If price remains below it we can look for potential short trade setup.
2. If RSI crossed below the level 40 open short trade.
3. Put the initial stop-loss above the signal candle’s high.
4. Take profit when price reached 3:1 risk-to-reward ratio. In our case we received very fast and profitable trade
⚡️RSI Divergence Strategy
RSI can be used also as a trend reversal indicator if we are looking for divergences. This is very reliable sign of current trend weakness and great opportunity open trade against the trend. Usually it’s not recommended, but in case if divergence can be applicable.
Bullish divergence is the situation when price created the lower low, while RSI made the lower low. Usually, it indicates that current downtrend is weakening and we can look for long trades
Bearish divergence is the situation when price created the higher high, while RSI made the lower high. Usually, it indicates that current uptrend is weakening and we can look for short trades
😎Important hint: it’s rarely covered in textbooks about technical analysis, but in our opinion it’s better to used divergences when RSI was able to cross level 50 between two lows/highs.
📈Long trading strategy example
1. Find at the chart situation, when the price made the lower low
2. At the same time RSI shall set the higher low
3. RSI shall break level 50 between these lows indicating shift to the bullish momentum
4. If price failed to set the clean breakdown open long trade on the candle which set the lower low. Put stop loss under it’s low
5. Take profit at 3:1 RR. When you master this concept, you will be able to have much more RR trades, even 10:1. This is possible because when trend finish you have the highest potential upside
📉Short trading strategy example
1. Find at the chart situation, when the price made the higher high
2. At the same time RSI shall set the lower high
3. RSI shall break level 50 between these highs indicating shift to the bearish momentum
4. If price failed to set the clean breakout open short trade on the candle which set the higher high. Put stop loss above it’s high
5. Take profit at 3:1 RR. When you master this concept, you will be able to have much more RR trades, even 10:1. This is possible because when trend finish you have the highest potential upside
Conclusion
The Relative Strength Index (RSI) remains one of the most powerful and flexible tools in a trader’s technical arsenal — but its real value lies in how you use it.
We’ve explored three key RSI strategies:
✅ Overbought/Oversold setups offer simple entry signals in ranging markets, where price tends to revert to the mean.
✅ Breakout strategies unlock RSI’s momentum-tracking potential, helping you ride strong directional moves with confidence.
✅ Divergence detection reveals hidden shifts in market sentiment, giving you an early warning of possible reversals or trend continuations.
Each approach has its strengths — and its risks — but together, they offer a complete framework for using RSI across different market conditions
🔑 Key Takeaways:
RSI is not just a “buy low, sell high” tool — it’s a multi-dimensional indicator that adapts to trends, momentum, and market structure.
The best RSI signals come from confluence: combining RSI with price action, support/resistance, volume, or trend filters like moving averages.
Patience and discipline are essential — RSI signals are only effective when paired with proper risk management and confirmation.
By mastering RSI beyond the basics, you'll be better equipped to make timely, confident, and informed trading decisions — whether you're entering a pullback, chasing a breakout, or spotting the early signs of reversal.
DXY LOCAL SHORT|
✅DXY is going up now
But a strong resistance level is ahead at 98.948
Thus I am expecting a pullback
And a move down towards the target of 98.451
SHORT🔥
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ES Weekly Recap & Gameplan – 27.07.2025🧭 Market Sentiment
The overall sentiment remains bullish, supported by:
• Declining inflation figures
• Trump’s pivot toward aggressive rate cuts
This shift reinforces a risk-on environment across U.S. indices.
🔙 Previous Week Recap
• ES continued its price discovery journey
• Price ran the 4H swing liquidity and shifted market structure
• A clean 1H demand zone was established post-MSS, leading to a strong move toward new ATH
• A bullish trendline has also formed as a visual representation of this momentum
• I anticipated a deeper retracement last week but adjusted my execution based on the ICT SMT concept — see previous week’s ES plan for details
📊 Technical Analysis
Looking forward:
• My expectation is a continued bullish price discovery
• Watching for price to tap into and potentially deviate below the Daily Fair Value Gap (D-FVG)
• This zone also aligns with the 0.5 Fibonacci equilibrium level, which I consider a discounted entry zone
• Confluence of liquidity + trendline + FVG + Fib makes this an ideal location for new long setups
⚙️ Setup Trigger & Trade Plan
Entry Strategy:
• Wait for a clear 1H–4H market structure shift
• Look for demand zone formation within the discount zone
• Execute long trades after confirmation and retracement into this zone
Trade Management:
🎯 Target: New All-Time Highs
⛔ Stoploss: Swing low beneath 1H–4H demand structure
🗨️ If you found this analysis helpful, don’t forget to like and drop a comment below — I’d love to hear your thoughts and setups for the week!
📥 Follow me for more weekly breakdowns and real-time updates throughout the trading week.
Pressure Builds on Nifty Before ExpiryThe Nifty traded in a tight range for most of the week but eventually slipped below the 25,000 mark, ending on a weak note.
With the monthly expiry approaching, the index is likely to remain under pressure, and volatility may pick up in the coming sessions.
Key resistance levels are seen at 25,200 and 25,500. A decisive move above 25,500 could trigger an upside breakout. On the downside, support is expected around 24,500 and 24,400.
Given the current structure, traders are advised to stay cautious, focus on selective opportunities, and avoid aggressive positions until a clearer trend emerges.






















