Talking Points:
DXY Technical Strategy: Keeping bullish outlook but temporary correction due
Elliottwave Count: Nested impulsive count, wave 4 correction is due
Analysis
DXY (Dollar Index) is trading impulsive in post election session and able to break channel resistance. As per our last analysis, we were suspecting corrective count towards 100 level as wave 4 target. Looking into wave structure, we are expecting we are part of last leg of correction from 103 to 101 and we are expecting another leg is still due which can be targeted below 100.00. 100 is also 100% fibbo expansion of zig zag correction and also be in previous wave 4 zone and can be consider as potential reversal zone.
Action
As We are expecting small set back to re-test channel support, we are looking to re-initiated our long position on dollar basket, i.e. we are looking to sell EUR/USD (Euro / US dollar), NZD/USD (New Zealand Dollar / US Dollar), Crude Oil, etc. However, for shorter term, we are shorting dollar and buying counter currencies and commodities. We already long on GBPUSD, Gold.
-- By Hoagtradng.com (@hoagtrading)
DXY Technical Strategy: Keeping bullish outlook but temporary correction due
Elliottwave Count: Nested impulsive count, wave 4 correction is due
Analysis
DXY (Dollar Index) is trading impulsive in post election session and able to break channel resistance. As per our last analysis, we were suspecting corrective count towards 100 level as wave 4 target. Looking into wave structure, we are expecting we are part of last leg of correction from 103 to 101 and we are expecting another leg is still due which can be targeted below 100.00. 100 is also 100% fibbo expansion of zig zag correction and also be in previous wave 4 zone and can be consider as potential reversal zone.
Action
As We are expecting small set back to re-test channel support, we are looking to re-initiated our long position on dollar basket, i.e. we are looking to sell EUR/USD (Euro / US dollar), NZD/USD (New Zealand Dollar / US Dollar), Crude Oil, etc. However, for shorter term, we are shorting dollar and buying counter currencies and commodities. We already long on GBPUSD, Gold.
-- By Hoagtradng.com (@hoagtrading)
-- By Hoagtrading.com (Twitter: @Hoagtrading)
