DXY - Flag Could Signal A Pop SoonDXY appears to be printing a tight contraction flag pattern potentially building upside cause.
Could be more trouble for stocks metals and crypto.
Not advice.
SDX1! trade ideas
U.S. DOLLAR INDEX FUTURESStrong dollar Saud in recent days but has made a strong correction and Hwa is rising now there is a high probability of Saud to 110.47
Triple divergence of the weekly RSI on US Dollar Index Triple divergence of the weekly RSO in the US Dollar Index ahead of the US CPI and the FOMC points to a significant loss of upside momentum, we would allow for the possibility for the market to mean revert to its 20-week ma at 105.76.
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The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
DYX Downside Target Achieved, What Next?In this update we review the recent rice action in the Dollar Index and identify the next high probability trading strategy and price objectives tot argte
DX1! - Weekly Market Update, 9/12US Dollar Index tests overhead resistance as anticipated.
We'll await a break above or a potential reversal from here lower.
USD Index Hits ResistanceUSD Index is coming impulsively higher in the 4-hour chart after a three-wave A-B-C correction in wave IV back in August, so the current recovery is a new five-wave rise. But it's a fifth wave that can be now in late stages here at 110 - 111 area. Divergence and potential wedge formation also suggest that the upside can be limited. Drop below 108.00 will suggest that the top is in place, at least a attemporary one. Also, the current DXY has a lot to do with EURUSD of course, which for now stayed about the recent low as European Central Bank President Christine Lagarde noted that they are ready for further hikes on upcoming meetings, taking the deposit rate into neutral territory.
/DX dollar index possible predictionAfter FED decision about interest rate in september 2022., dollar index could go to 102.
Dollar index will weak a little.
Dollar index of 102 will be if FED do not raise interest rate or reduce the interest rate (low possibility).
If the FED increases the interest rate by, for example, 0.75% and then interest is 3.25%, then dollar index will rise more to 120 (EURUSD 0.85) in next period - a very small possibility in September 2022.
20 Reason for Long DXYUpdate 07/09/2022
1 Structure 1/2: Bear
2 imbalances : Correction target marked
3 Current Move1/2 : Corrective
4 Entry TF : D1
4.1 ETF Structure: Bull
4.2 move : impulse
5 Support Resistance: Pull Back support waiting
6 FIB: waiting according to drawing for buy entry
7 candle Pattern: shrinking candles
8 Chart Pattern:
9 Volume : decrease correction now
10 Momentum: Bullish
11 Volatility : Divergence
12 strength: full favor of bulls
13 Sentiment : No1
14 Final Summary: go with Bull buys all signs are favor of buyer
15Buy /Sell/Wait : wait for buy
16 Entry:108.222
17 Sl: 107.555
18 Tp: 114.555
19 Risk to reward Ratio: 1:13
20 Excepted Duration : 45
DXY is printing a reversal in ascending wedgeThe DXY seems to be printing into an ascending wedge after a long uptrend which is a possible reversal signal.
Some stats on ascending wedge (source: www.centralcharts.com)
- In 82% of cases, the exit is bearish.
- In 55% of cases, a rising wedge is a reversal pattern.
- In 63% of cases, the pattern’s price objective is achieved when the support line is broken.
- In 53% of cases, the price makes a resistance pullback on the rising wedge’s support line.
- In 27% of cases, false breaks (false exits) appear.
This will likely break down, and could signal another rally for stock indices and crypto.
I almost can't believe that markets could rally with the macro landscape, but Powell's recent messaging seems to be mostly ignored and traders are calling the fed's bluff. Watch into the CIE data the day before the fed minutes and rate decisions are made, and if the fed isn't posting super hawkish rate hikes, you could really get a run on some crypto assets through september despite the fact that it's historically a bearish month.
Dollar Index Up 5%The Dollar Index is up 5% since breaking above the resistance level at $103 in June 2022
and the buyers are looking strong for September so far.
Price was previously in consolidation between January 2017 and June 2022 and when
price consolidates for lengthy periods of time such as this, we can expect strong moves
in the direction of the breakout like we see at the moment.
There is a lot of clear space above price for it to continue climbing higher, so the buyers
may use this to their advantage.
This is the best time to look at the forex market, which has been sleeping for a number
of years now. Expect big long-term trends when markets come alive after a long period
of doing nothing.
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Bites Of Trading Knowledge For New TOP Traders #15 (short read)Bites Of Trading Knowledge For New TOP Traders #15
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What is an Interest Rate Differential? -
An interest rate differential is a change in the interest rates between the currencies of two countries. It is a measure of how money from two countries compares to each other.
What is the Carry Trade? -
The carry trade is where an investor borrows in a currency where the interest rate is low and converts those funds into a currency where the interest rate is higher.
For example, if one currency has an interest rate of 5% and the other has a rate of 1%, it has a 4% interest rate differential. If you were to buy the currency that pays 5% against one that pays 1%, you would be paid on the difference with daily interest payments.
RISKS AND OPPORTUNITIES FOR CORPORATES AND INDIVIDUAL INVESTORS -
Common application of financial market instruments for managing risk and opportunities.
Diversification: Portfolio Risk Using FX Futures
Portfolio diversification is the process of investing your money in different asset classes and securities in order to minimize the overall risk of the portfolio.
For both corporate and individual investors, having access to markets that enable the building of a diversified portfolio is an important consideration when managing futures focused accounts.
Similar to managing risk, the market to trade would be a key variable to clearly state and support with reasons for trading or investing. Reasons for selecting one market over another could include price volatility, liquidity, daily volume traded, size of the minimum price increment, and value of the minimum price increment. Comparing these variables between markets will help decide the suitability and/or risk of each.
For example, the parameters for a price driven strategy may be designed to be applied to any market whether it be index equity futures or forex futures. However, the signals for entry may not always trigger if a trader were just to focus on a single index equity futures. Having access to markets such as the Micro MSCI USA Index futures could add diversification to a portfolio in an efficient manner.
Having access to other futures markets to apply the strategy to allow for the creation of a diversified portfolio with varying entry and exit points or the ability for more trading oriented investors increased opportunities to execute price driven strategies more often across a range of futures markets.
TRADDICTIV · Research Team
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Disclaimer:
We do not provide investment advice, nor provide any personalized investment recommendations and/or advice in making a decision to trade. Before you start trading, please make sure you have considered your entire financial situation, including financial commitments and you understand that trading is highly speculative and that you could sustain significant losses.
USD Cup & Handle BreakoutIt has been a rather long time since I looked at the US Dollar Index Futures chart. Pulled out the chart and surprise!
Since June 2022, the weekly USD chart had actually completed a Cup & Handle pattern, retested the resistance turned support at 105, and now is on a tear rocketing upwards. Technical indicators although stretched for a bit, appear to have renewed momentum, crossing over and upwards in alignment.
The daily chart shows some level of stalling in late August, and pushed further upwards late last week, closing at a multi-year high.
In an inflationary environment, with the Fed bent on continuing to raise rates and accepting painful costs, the USD is likely to rise further. Cup & Handle pattern projections put it above 120. This has many many implications, both as the USD rises, and when the USD is categorically above 110, 115 and 120. This USD move will be the backdrop of many new trends over the next couple of months to years, giving traders and investors many opportunities if handled correctly. Watch for them!
DX1! - Weekly Market Update, 9/5US Dollar Index Futures remain strong after acquiring our recent target.
I've left our recent trade imaged on the char for your review...
Ideal entry, stop and target are all identified on the chart.
DXY to find resistance on the first test through 110In this update we review the recent price action in the Dollar Index futures contract and identify the next high probability trading opportunity and price objectives to target
The dollar has weak support!By breaking the support with a daily candle, it is heading down at lightning speed
dollar index is in last lag of uptrenddollar index is in last lag of uptrend , it's zigzag that connect to that another zigzag with x wave ,
Fed vs Bitcoin- would be much to long to explain about global economy mechanics.
- everything is in chart.
- if you get those moves, u will understand that "everything is linked" ( or inversed )
- Check my previous Analysis about " brrrrrr " there :
Happy Tr4Ding !
US Dollar UptrendPEPPERSTONE:USDX
Daily Chart: Price hit recent support. Look for price to bounce and resume its uptrend.
***Price bounces higher every time price consolidates in the areas of the moving averages.***
U.S. DOLLAR INDEX FUTURESThe dollar has made a very strong rise and reached the top, from the start of the decline, and from the middle to get a very strong trend
Dollar will touches the trend from 1980The dollar will touch an important trend from 1980 until now. Expect the end of its rise wave and entry into a large wave of decline that will extend for years.. and the recovery of crypto markets.. I hope so.. It is not a recommendation to buy or sell
What to do when technical analysis does not appear to be workingI take a look at when the US dollar Index broke below its uptrend back in the middle of August - the break was not sustained. I talk about what I do next when it appears my analysis is not working.
The Society of Technical Analysts' next course starts in October. Those wishing to learn more about technical analysis can take a look at the Route to Diploma - Society of Technical Analysts, www.technicalanalysts.com
Disclaimer:
The information posted on Trading View is for informative purposes and is not intended to constitute advice in any form, including but not limited to investment, accounting, tax, legal or regulatory advice. The information therefore has no regard to the specific investment objectives, financial situation or particular needs of any specific recipient. Opinions expressed are our current opinions as of the date appearing on Trading View only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The Society of Technical Analysts Ltd does not make representation that the information provided is appropriate for use in all jurisdictions or by all Investors or other potential Investors. Parties are therefore responsible for compliance with applicable local laws and regulations. The Society of Technical Analysts will not be held liable for any loss or damage resulting directly or indirectly from the use of any information on this site.
