USDX wave (A) up finishing - (B) correction soon
Im not bullish, bearish, or neutral. It all depends on what the timeline is.
Short term, bearish;
- 5 waves up complete,
- strong rejection of the bulls shown in long wicks up,
- I would call strong bearish divergence on daily RSI (several peaks show declining RSI peaks while price has been rising),
- A strong recent rally in USD.
indicates that a correction is expected. By my count this would be a wave B of (B) for <100% retracement of wave A - I arbitrarily chose a 0.618 retrace.
Medium term (couple of weeks time) bullish;
- wave C (of wave (B) assumed to reach 1:1 of wave A, although it may not reach that high,
- This is based on a B wave being comprised of a 5 (or 3) waves A, followed by 3 wave B, and (always) 5 wave C. This would mean 3 waves down is next on the sequence.
Medium - long (after the ABC sub-move has terminated finishing wave (B) and the wave (C) commences) strongly bearish;
- Wave (C) always comprises 5 wave where wave (A) also had 5 waves,
- Wave (A) was quite strong and I will be interested to see if wave (C) is as strong because it will mean a significant move down.
This analysis is 100% technical and includes no fundamental analysis. Let's see if it can stand on its own. I am not a FOREX trader and don't expect to become one. My trading is limited to cryptocurrency, crude, silver, and gold currently, although, I am keen to expand to other commodities. This is published for my own education.
Short term, bearish;
- 5 waves up complete,
- strong rejection of the bulls shown in long wicks up,
- I would call strong bearish divergence on daily RSI (several peaks show declining RSI peaks while price has been rising),
- A strong recent rally in USD.
indicates that a correction is expected. By my count this would be a wave B of (B) for <100% retracement of wave A - I arbitrarily chose a 0.618 retrace.
Medium term (couple of weeks time) bullish;
- wave C (of wave (B) assumed to reach 1:1 of wave A, although it may not reach that high,
- This is based on a B wave being comprised of a 5 (or 3) waves A, followed by 3 wave B, and (always) 5 wave C. This would mean 3 waves down is next on the sequence.
Medium - long (after the ABC sub-move has terminated finishing wave (B) and the wave (C) commences) strongly bearish;
- Wave (C) always comprises 5 wave where wave (A) also had 5 waves,
- Wave (A) was quite strong and I will be interested to see if wave (C) is as strong because it will mean a significant move down.
This analysis is 100% technical and includes no fundamental analysis. Let's see if it can stand on its own. I am not a FOREX trader and don't expect to become one. My trading is limited to cryptocurrency, crude, silver, and gold currently, although, I am keen to expand to other commodities. This is published for my own education.
Pernyataan Penyangkalan
Informasi dan publikasi tidak dimaksudkan untuk menjadi, dan bukan merupakan saran keuangan, investasi, perdagangan, atau rekomendasi lainnya yang diberikan atau didukung oleh TradingView. Baca selengkapnya di Persyaratan Penggunaan.