The charts are showing, from a technical analysis standpoint with patterns at decisive levels, that the Dollar Index (DXY) could be heading towards significant levels.
USD has been enjoying an impressive bullish rally for an entire month, a swing which was mentioned and explained in the “Is The USD Getting Stronger?” article.
Is it time for the “bull” to rest a bit?
EUR/USD lost a lot of ground this week and so did XAU/USD (gold). This is because the greenback managed to start another bullish intraday swing, a move which was mentioned as possible in the “Draghi On The Mic – Which One Will Be In Trouble? EUR Or DAX?” article.
The USD move was also explained and followed up with the “Intraday Updates – Wave Counts And Projections 14.05.18” video, when multiple views were shared for EUR, GBP, XAU, XAG, YEN, CHF, DAX.
The current wave count for DXY is stating that the dollar’s location could resemble the last 5th wave of a larger degree bullish swing. If this would turn out to be true, then it could lead towards a possible Reversal, resulting in a weaker USD.
EUR and Metals are also showing potential reversal patterns.
Possible scenarios:
- Dollar Index (DXY) – Bearish
- XAU/USD – Bullish
- XAG/USD – Bullish
- WTI (Crude Oil) – Bearish
- EUR/USD – Bullish
- GBP/USD – Bullish
- USD/JPY – Bearish
- USD/CHF – Bearish
- DAX30 – Bearish
Dollar Index (DXY) – 2H Chart
XAU/USD – 2H Chart
XAG/USD – 2H Chart
WTI – 4H Chart
EUR/USD – 2H Chart
GBP/USD – 2H Chart
USD/JPY – 2H Chart
USD/CHF – 2H Chart
DAX30 – 2H Chart
Many pips ahead!
