DXY Seems to be going sideways with a upward bias
Currently, the DXY is touching the 25MA. Usually, price tends to bounce off this line or cross it and test the price action, determining if price should go lower or higher. Here we can see this test play out. With quite a bit of support, it's possible that price will continue to move along this sideways trend. Since the sideways movement is indeed going upward, we want to follow the trend, therefore we are long.
Furthermore, the stop loss is set exactly after some lower lows, since breaking below this level would mean that the current sideways uptrend is over and a downtrend has begun.
Furthermore, the stop loss is set exactly after some lower lows, since breaking below this level would mean that the current sideways uptrend is over and a downtrend has begun.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.