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DXY (USD Index) 4hour Analysis January 16th, 2022

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DXY Bearish Idea

Weekly Trend: Bullish
Daily Trend: Bullish
4Hour Trend: Bearish

Trade scenario 1: Looking very bearish here on DXY as we recently saw a bearish break of a large 4hour range.

Ideally, we can see price action pullback to 95.800 and form a lower high with strong bearish candlestick setups. This would confirm further bearish movement down to major support levels.

Trade scenario 2: For us to consider DXY bullish we first would need to spot a break back into the range between 95.800 & 96.300.

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