US Dollar Index might be attempting to push higher and a break above 97.80 would add further confidence. The structure from 103.00 highs is as follows. The drop from 103.00 through 98.27 was an impulse, Wave 1 on chart. The subsequent sideways movement turned out to be a triangle, terminating at 100.56, Wave 2 on the chart. Since then, Wave 3 is progressing towards 94.65 and beyond. For the above counts to hold true, US Dollar Index needs to stay below 97.80. Any break higher would imply a potential for a bullish reversal ahead. It is good to reduce risk on short positions to 97.80 for now.
Strategy:
Short against 98.70, targeting below 94.65
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
Strategy:
Short against 98.70, targeting below 94.65
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.