Good afternoon traders, today we bring you our analysis on the U.S Dollar Index, since we consider that it is making an important movement, and it has been on an interesting behavior the last week.
🔸As we know, the USD has been gaining strong, and that was reflected in many pairs.
🔸If we look at the chart, the price faced a huge demand zone, where every time it was at that price level, there was a strong reaction. And this time it was not the exception.
🔸This rebound has as its first stop zone the broken Ascending Trendline. And this is why we say that the movement is not yet confirmed, since, if we analyze the long-term behavior, this can be a simple pullback to continue the downtrend.
🔸What we would do, as a safety measure to not to trade a noisy area, would be to wait for a breakout of the previous low, and this way the continuation of the trend would be confirmed.
🔸And, in case this does not happen, to trade in the bullish direction, we will wait for the price to enter the channel again.
🔸As we know, the USD has been gaining strong, and that was reflected in many pairs.
🔸If we look at the chart, the price faced a huge demand zone, where every time it was at that price level, there was a strong reaction. And this time it was not the exception.
🔸This rebound has as its first stop zone the broken Ascending Trendline. And this is why we say that the movement is not yet confirmed, since, if we analyze the long-term behavior, this can be a simple pullback to continue the downtrend.
🔸What we would do, as a safety measure to not to trade a noisy area, would be to wait for a breakout of the previous low, and this way the continuation of the trend would be confirmed.
🔸And, in case this does not happen, to trade in the bullish direction, we will wait for the price to enter the channel again.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.