USDOLLAR Bullish Flag Continuation on H1; Awaiting Breakout

26 Feb 2020

The USDOLLAR's green 5-hour EMA has crossed above its orange 10-hour EMA (green ellipse) and the RSI is above 50 (blue rectangle). These are bullish developments and suggest an underlying positive momentum. We note that the greenback has almost completed a flag pattern (red parallel trend lines). To complete we need to see a breakout to the upside. A flag pattern is a continuation pattern i.e. the previous impulse up is the dominant direction if the pattern is a true flag. Moreover, flags fly at "half-mast”, which give a price target of 12,513 if realized.