Hello everyone,
I'm looking at the Dollar Index. The DXY is approaching Daily High/Resistance 96.80, Price has been rejected twice from this zone, on the 24th Nov and 16th Dec 2021. Dollar currencies might be rallying at the moment but I'll suggest we put our risk on, and by this I mean, Wait!. If you feel the need to trade at the moment because I do. I'll suggest you go against the USD by buying daily lows on EURUSD and GBPUSD until prices move above 96.80, even then I'll still have my risk on because we'll also be approaching the price, 97.50(That's our monthly resistance).
If you don't understand why I'm using the DXY as my facade before looking for setups. DXY moves up, EUR and GBP move down. Classic correlation. I wouldn't want to be a buyer in a seller's territory(Resistance), I'll rather wait for the price to break above the resistance and give me a retracement, which will then mean Resistance == Support.
Thanks for reading!
Safe Trading this January and remember, 1% is NOT too small for your risk management.
DXY
EURUSD
GBPUSD
I'm looking at the Dollar Index. The DXY is approaching Daily High/Resistance 96.80, Price has been rejected twice from this zone, on the 24th Nov and 16th Dec 2021. Dollar currencies might be rallying at the moment but I'll suggest we put our risk on, and by this I mean, Wait!. If you feel the need to trade at the moment because I do. I'll suggest you go against the USD by buying daily lows on EURUSD and GBPUSD until prices move above 96.80, even then I'll still have my risk on because we'll also be approaching the price, 97.50(That's our monthly resistance).
If you don't understand why I'm using the DXY as my facade before looking for setups. DXY moves up, EUR and GBP move down. Classic correlation. I wouldn't want to be a buyer in a seller's territory(Resistance), I'll rather wait for the price to break above the resistance and give me a retracement, which will then mean Resistance == Support.
Thanks for reading!
Safe Trading this January and remember, 1% is NOT too small for your risk management.
DXY
EURUSD
GBPUSD