DXY in 1 H timeframeDXY Analysis on RTM Style
Here’s an analysis of the **U.S. Dollar Index (DXY) on the 1H timeframe** based on the **RTM (Read The Market) style** and your drawn arrows:
Previous Trend & Break of Structure (BoS)**
- The market has been in a strong downtrend, forming **Lower Lows (LL) and Lower Highs (LH)**.
- After breaking the **105.485 level (0.5 Fibonacci retracement)**, the bearish momentum continued down to the **103.5 support zone**.
Liquidity Zones & Potential Reversal**
- The price is currently consolidating around **103.5**, indicating a possible reaction from buyers.
- A **Higher High (HH)** is marked, suggesting a potential shift in market structure.
Possible Scenario Based on the Arrows**
- A short-term **accumulation phase** is expected between **103.5 - 104**.
- If the price breaks above **103.998**, bullish momentum may drive it toward the **105.5 - 106.7 zone (Fibonacci 0.5 & 0.786 retracement levels)**.
- If this resistance is broken, the final target could be **107.27**, a strong resistance level.
- The market is at a **key support level** and may form a bullish structure.
- Confirmation of a **Higher High** and a break above **103.998** could trigger an upward move.
- **Re-Accumulation** is expected before a strong bullish continuation.
- **Bearish Alternative**: If the **103.5 support** fails, the price may drop further to **102.1**.
This analysis is suitable for publishing, but I recommend adding an alternative scenario in case the support fails, giving a more well-rounded outlook.