Potential Sell:
DXY has been pretty-much bullish since January 2021, and the market just recently completed its ABCD Fibonacci swing. I can see a potential bearish market over the next month or 2 if not longer.
Analysis:
1) Monthly timeframe broke and retested uptrend support becoming resistance
2) Buyers are loosing power to push the market further up
3) Daily time frame "D" extension completed
4) RSI divergence
5) Market forming a pennant with sellers bringing in lower highs
6) Note the wick rejection highlighted with a red flag at 86% Fibonacci pullback
According to Fibonacci if sellers are going to take control we can potentially see a move down towards price 95.252 and then retest support becoming resistance.
I will be looking at the 1Hour time frame for a break and retest of this support area and enter on a counter trend break bearish to price 95.252 on which I will then re-analyze to see if the downwards continuation will continue towards support market in blue
DXY has been pretty-much bullish since January 2021, and the market just recently completed its ABCD Fibonacci swing. I can see a potential bearish market over the next month or 2 if not longer.
Analysis:
1) Monthly timeframe broke and retested uptrend support becoming resistance
2) Buyers are loosing power to push the market further up
3) Daily time frame "D" extension completed
4) RSI divergence
5) Market forming a pennant with sellers bringing in lower highs
6) Note the wick rejection highlighted with a red flag at 86% Fibonacci pullback
According to Fibonacci if sellers are going to take control we can potentially see a move down towards price 95.252 and then retest support becoming resistance.
I will be looking at the 1Hour time frame for a break and retest of this support area and enter on a counter trend break bearish to price 95.252 on which I will then re-analyze to see if the downwards continuation will continue towards support market in blue
Trade closed: target reached:
Target reach but unfortunately no entry for me
Reason: Although market played out as expected and broke support with a retest as resistance, there was no wick rejection at this area. I stuck with my trading plan and strategy therefore avoided this trade.
Time to see what happens over the next day/ two and re-analyze. Hopefully we can still catch a bearish ride down towards support around 94.500
Reason: Although market played out as expected and broke support with a retest as resistance, there was no wick rejection at this area. I stuck with my trading plan and strategy therefore avoided this trade.
Time to see what happens over the next day/ two and re-analyze. Hopefully we can still catch a bearish ride down towards support around 94.500
Order cancelled