After conducting a thorough analysis of the DXY chart, I have come to the conclusion that a potential bullish pump of approximately 10.23% can be expected from the current price of 101.6. Mainly caused by the liquidus uptrend the DXY on, this is due to a combination of macroeconomic factors such as maintaining inflation and restarting the global economy after the COVID-19 pandemic. From a technical standpoint, the steepness of the uptrend caused multiple imbalances and inefficiencies, leading to a complex pullback. However, a change in market sentiment has led to a bearish market structure, and a pullback is expected at the highest and most resilient supply zone located at the extremities of the monthly swing high at 111.99.
Looking at the monthly candle, it is evident that the next candle cannot logically close below the price of 101.0801, as doing so would result in a significant crash that would be difficult to reverse. Moreover, fundamental factors and basic price action rules also support this analysis.
As a seasoned analyst of the DXY chart, it's evident that we are currently trading below the crucial supply zone on the monthly. However, with years of experience studying the DXY's volatility and behavioral patterns, I can confidently say such movements are commonplace for this instrument. Additionally, considering that we're only at the beginning of the month, it's not unusual for the candle to exhibit volatility and move sideways during the opening period.
The logic behind price action rules and basic market structure suggests that the only possible scenario is a 10% pullback. Moreover, there is an inefficiency of a 3% candle that weighs down on the bearish decline, preventing it from gaining further momentum.
As a result, I believe it's crucial to maintain a long-term perspective and consider DXY's historical behavior when making trading decisions. It is important to note that any bullish pump of this magnitude will require significant interest rate hikes, as alluded to by Mr. Jerome Powell.
In light of the recent change in market sentiment and a subsequent reversal in the market character{ChoCh}, I believe that the underlying trend will resume after this pullback and continue to aim for newer lower lows as per market structure demands.
A few days ago, I published an idea suggesting going short on the EUR. To ensure the reliability of this analysis, I cross-checked it with my DXY analysis, which revealed a clear and transparent bond and an inverse correlation. As an expert in the field, I can confidently confirm that the DXY has reached its lowest point and will not go further down. Therefore, my analysis of the potential for the EUR to experience a significant decline is accurate and supported by market data. As always, investors should exercise caution and be mindful of the risks involved when making trading decisions.
In conclusion, my analysis highlights the potential for a significant bullish pump in the DXY chart, and from my own edge and experience this scenario is inevitable, investors should remain vigilant and aware of the potential risks involved in this market.
Looking at the monthly candle, it is evident that the next candle cannot logically close below the price of 101.0801, as doing so would result in a significant crash that would be difficult to reverse. Moreover, fundamental factors and basic price action rules also support this analysis.
As a seasoned analyst of the DXY chart, it's evident that we are currently trading below the crucial supply zone on the monthly. However, with years of experience studying the DXY's volatility and behavioral patterns, I can confidently say such movements are commonplace for this instrument. Additionally, considering that we're only at the beginning of the month, it's not unusual for the candle to exhibit volatility and move sideways during the opening period.
The logic behind price action rules and basic market structure suggests that the only possible scenario is a 10% pullback. Moreover, there is an inefficiency of a 3% candle that weighs down on the bearish decline, preventing it from gaining further momentum.
As a result, I believe it's crucial to maintain a long-term perspective and consider DXY's historical behavior when making trading decisions. It is important to note that any bullish pump of this magnitude will require significant interest rate hikes, as alluded to by Mr. Jerome Powell.
In light of the recent change in market sentiment and a subsequent reversal in the market character{ChoCh}, I believe that the underlying trend will resume after this pullback and continue to aim for newer lower lows as per market structure demands.
A few days ago, I published an idea suggesting going short on the EUR. To ensure the reliability of this analysis, I cross-checked it with my DXY analysis, which revealed a clear and transparent bond and an inverse correlation. As an expert in the field, I can confidently confirm that the DXY has reached its lowest point and will not go further down. Therefore, my analysis of the potential for the EUR to experience a significant decline is accurate and supported by market data. As always, investors should exercise caution and be mindful of the risks involved when making trading decisions.
In conclusion, my analysis highlights the potential for a significant bullish pump in the DXY chart, and from my own edge and experience this scenario is inevitable, investors should remain vigilant and aware of the potential risks involved in this market.
Trade active:
After successfully analyzing and predicting a crucial pivotal point preceding a highly momentous and liquid crash, I am now observing early indications of a minor pullback on the lower timeframes (LTF). This pullback is poised to enhance bullish liquidity, resulting in increased efficiency and power for the forthcoming bullish legs.