Trend Analysis
The main view of this trade idea is on the 2-Hour Chart. The Dollar Index (DXY) is in an ascending triangle setup with the resistance around the 94.50 price level. The support trend line is structured with the higher lows of 93 and 94 respectively. Expectations are for a breakout on DXY with a target of 95.50. Failure of this setup will be known if DXY were to fall below 93.50.
Technical Indicators
The short (50-MA), medium (100-MA) and long (200-MA) fractal moving averages a trending higher, providing varying levels of support for DXY. The RSI is trading above 50 with the KST in a bullish mode.
Recommendation
The recommendation will be to go long at market, with a stop loss at 93.50 and a target of 95.50. This produces a risk/reward ratio of 1.12
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. Currently I have a position in DXY.
The main view of this trade idea is on the 2-Hour Chart. The Dollar Index (DXY) is in an ascending triangle setup with the resistance around the 94.50 price level. The support trend line is structured with the higher lows of 93 and 94 respectively. Expectations are for a breakout on DXY with a target of 95.50. Failure of this setup will be known if DXY were to fall below 93.50.
Technical Indicators
The short (50-MA), medium (100-MA) and long (200-MA) fractal moving averages a trending higher, providing varying levels of support for DXY. The RSI is trading above 50 with the KST in a bullish mode.
Recommendation
The recommendation will be to go long at market, with a stop loss at 93.50 and a target of 95.50. This produces a risk/reward ratio of 1.12
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. Currently I have a position in DXY.