Bullish engulfing on the daily suggest a test of the resistance at 12200s at 0.618 Fib. retracement of the whole bearish move.
I'll treat this as a Last Call for all who want to go SHORT on THE US DOLLAR INDEX.
See you bellow 11800s
Sighted: Potential two Bullish Shark Patterns (Orange and Blue)
This is in the Daily chart although Monthly chart shows a clearer RSI Divergence.
I believe this is the tipping point for the US dollar - fundamentals aside.
This change has been a long time coming.
Still consolidating in this massive ascending channel,
the FXCM dollar index gave out an Inverted Hammer at yesterday's close (Boxed in Yellow) hinting for a move that is Pro USD.
Sighted here is a Bearish Bat pattern completing at 11870s could provide another opportunity to go short.
On another note.. the Bullish move could resume from here on as the inverted ...
Descending Wedge Pattern starting last 06/28/2014 "IS LONG OVERDUE" for a break to the upside.
This is the best alignment yet for a bullish breakout.
1. Bullish Divergence in RSI (Weekly)
2. Completion of Bearish Cypher Pattern @1,307s (0.786 Fib. of the last down trend) hints for another run Higher.
3. 0.618 Fib. Retracement aligns with strong bullish ...
USOil forms a wedge pattern with initial Bullish moves in the form of a Morning Star (Boxed in White) hints for further Upside bias.
Expecting to reach 58 level for a Bearish Butterfly completion before further bearish moves.
Note: Correlation of USOil with USD Index is directly inverse to a high degree.
Expecting a bullish move after putting up an Inverted Hammer on a Daily Close (Boxed in White) up to 1,272s..
Notice the breakout in the RSI bellow. (Expecting to reach Red Resistance Line in RSI before further bearish moves)
Still, overall view is Bearish.
Setting up Two (2) Entry Orders. Short then Long.