DXY Update Daily TF Sept 16

The DXY has been on a tear since the low on Aug 11, bringing the #stockmarket & #crypto down in the process.

Things to note:
- LT Support channel @ $106 - $107
- Major support @ 50SMA back-tested successfully Sept 13
- Price holding 9SMA as support but it's going sideways (if turn down that's bearish)
- LT Resistance $111.50 - $112.34
- Possible test of LT resistance coinciding with the FED FOMC meeting & rate raise Sept 20-21
- RSI getting up there

I see two major scenarios leading into the FED FOMC rate hike on Sept 21:
A) the DXY cools off after today & the risk on assets see a nice bounce early next week into Tuesday
B) the DXY keeps firing up & the risk assets keep dumping down

IF A) takes place, I will be looking for risk assets to get rejected @ resistance right as the rate hike happens, sending the market lower.

IF B) takes place, I would expect risk assets to find support, sending them higher on the FED news.

Don't get suckered in here. A pump into the FED meeting is the perfect bull trap. The opposite is also true.

Play safe, avoid hype.