DXY – At Risk of Pullback!
DXY has come in contact with another resistance zone in its quest for higher levels. The 105.900 level is upon us, and as shown on the daily chart here, we are on the precipice of a continued breakout or a pullback to the top of the previous bear trend or Daily 200 EMA. RSI is also flirting around the 70 level which adds to the high risk of a long at this stage of the bull run. Better to wait for a pullback before entering a long A short here is also risky and should not be taken until a signal bar has presented itself with the proper follow-through, which we have not seen either.
Price targets for a short after a confirmed rejection of the 105.900 level are 103.500 and 102.700 respectively. These levels, with the proper signal bar and confirmation, are also zones for a H1-long and attempted breakout of the 105.900 levels.
Trade wisely and let us know what you think in the comment section below!
Crypto, Stock, Futures, Forex, or any trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or lifestyle. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results.
The Trader Engineering Course found on this website at traderengineering.com/course is for educational purposes only and the opinions expressed are those of the presenter only. All trades presented should be considered hypothetical and should not be expected to be replicated in a live trading account. You are responsible for the risk associated with every trade you take.