Analysis:
As anticipated, DXY has now swept the major weekly/monthly sell-side liquidity (SSL) at 99.58, tapping deep into a high-probability reversal zone. This aggressive liquidity raid was followed by a sharp bullish reaction—marking the first signs of potential re-accumulation or a relief rally.
Currently, price is pushing back toward a bearish order block (OB) that aligns with a dense cluster of confluences:
A weekly FVG (Fair Value Gap)
A monthly FVG that’s been previously respected
Major supply resistance from previous highs around 108.40–109.39
This confluence zone is critical.
📍 Two Likely Scenarios:
Rejection from OB Zone: If price respects the OB, expect continuation to the downside—possibly targeting a deeper structural shift and breaking below the recent SSL.
Breakthrough & Reclaim: If price breaks and closes strongly above the OB zone, it opens the door for a move toward 114.60, the next major daily buy-side liquidity.
🧠 Either outcome offers a significant macro play, especially for risk-sensitive pairs (i.e., AUD, NZD, Gold, or equities inversely correlated to USD strength). Keep in mind, DXY's movement is heavily influenced by macroeconomic events, so dollar strength or weakness can cascade across global markets.
Key Levels to Watch:
Support: 100.215 / 99.58
Resistance: 108.40 → 109.39 OB zone
Upper Target if invalidated: 114.60
⚠️ DYOR. Let price confirm before bias is committed.
As anticipated, DXY has now swept the major weekly/monthly sell-side liquidity (SSL) at 99.58, tapping deep into a high-probability reversal zone. This aggressive liquidity raid was followed by a sharp bullish reaction—marking the first signs of potential re-accumulation or a relief rally.
Currently, price is pushing back toward a bearish order block (OB) that aligns with a dense cluster of confluences:
A weekly FVG (Fair Value Gap)
A monthly FVG that’s been previously respected
Major supply resistance from previous highs around 108.40–109.39
This confluence zone is critical.
📍 Two Likely Scenarios:
Rejection from OB Zone: If price respects the OB, expect continuation to the downside—possibly targeting a deeper structural shift and breaking below the recent SSL.
Breakthrough & Reclaim: If price breaks and closes strongly above the OB zone, it opens the door for a move toward 114.60, the next major daily buy-side liquidity.
🧠 Either outcome offers a significant macro play, especially for risk-sensitive pairs (i.e., AUD, NZD, Gold, or equities inversely correlated to USD strength). Keep in mind, DXY's movement is heavily influenced by macroeconomic events, so dollar strength or weakness can cascade across global markets.
Key Levels to Watch:
Support: 100.215 / 99.58
Resistance: 108.40 → 109.39 OB zone
Upper Target if invalidated: 114.60
⚠️ DYOR. Let price confirm before bias is committed.
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.
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.