DXY Weekly Analysis
Analysis
Sentiment: Short
Market Structure: Confirmed Double Top
Daily Resistance Level: 97.500
Daily Support Level: 95.500
Other Key Levels: 98.200 - 97.300 - 96.169 (50% Retracement Level)
Predictions
After the retest of the neckline, I would now like to see a retest of the 97.000 level if we get a retest at all. If we do not see any pullback the first bounce will occur around the 50% retracement level at the 96.169 area. The next short confirmation I will be looking for is a break of the weekly trend line pictured below. This would begin to form the right shoulder of the head and shoulders pattern appearing on the monthly time frame.
I will be looking for movement down to the 95.500 level after the retest of the 97.00 level and if we can get a clear break pass the 50% retracement.
There may even be higher retest if the Fed decides to lower interest rates, specifically back to the 97.500 level.
What would make this trade invalid?
A clear close above 97.500 would be the first sign
Market structure (double bottoms) around the 50% retracement level on the daily timeframe
A bounce off of the weekly trend line
View how this prediction turned out on Tradingview
Anthony Sledge
Sentiment: Short
Market Structure: Confirmed Double Top
Daily Resistance Level: 97.500
Daily Support Level: 95.500
Other Key Levels: 98.200 - 97.300 - 96.169 (50% Retracement Level)
Predictions
After the retest of the neckline, I would now like to see a retest of the 97.000 level if we get a retest at all. If we do not see any pullback the first bounce will occur around the 50% retracement level at the 96.169 area. The next short confirmation I will be looking for is a break of the weekly trend line pictured below. This would begin to form the right shoulder of the head and shoulders pattern appearing on the monthly time frame.
I will be looking for movement down to the 95.500 level after the retest of the 97.00 level and if we can get a clear break pass the 50% retracement.
There may even be higher retest if the Fed decides to lower interest rates, specifically back to the 97.500 level.
What would make this trade invalid?
A clear close above 97.500 would be the first sign
Market structure (double bottoms) around the 50% retracement level on the daily timeframe
A bounce off of the weekly trend line
View how this prediction turned out on Tradingview
Anthony Sledge
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