Broker of the Week Oanda - Read Full Review

Free Top Brokers Comparison Service

HELP ME CHOOSE START QUIZ

Teases immediate rising wedge confirmation

[ad_1]

  • DXY stays on the back foot around weekly lows.
  • Sustained trading below 50-day SMA, bearish chart formation keeps greenback sellers hopeful.
  • 21-day SMA probes short-term downside ahead of the monthly low.

US dollar index (DXY) fades the bounce off 90.40 while taking rounds to 90.50 during Wednesday’s Asian session. The greenback gauge versus major currencies marked the heaviest losses in over a week the previous day while extending pullback from the monthly top, portrayed on Monday. In doing so, DXY teases confirmation of a short-term rising wedge, bearish chart play.

Given the greenback gauge’s inability to cross 50-day SMA, coupled with expected risk-on mood, DXY is likely to confirm the bearish pattern.

Although USD bears an eye for the fresh multi-month low following the DXY declines below 90.45, 21-day SMA near 90.15 and the 90.00 threshold can offer intermediate halts during the fall.

Meanwhile, an upside clearance of 50-day SMA, at 90.87 now, needs to defy the bearish chart play by crossing the pattern’s resistance line around 91.00.

Following that, DXY bulls will eye for December 07 top near 91.25 and September 2020 low near 91.75 ahead of challenging the 92.00 round-figure.

DXY daily chart

Trend: Bearish

 

[ad_2]

Source link

We will be happy to hear your thoughts

Leave a reply

Trading foreign exchange on margin carries a HIGH LEVEL OF RISK, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. You could sustain a loss of some or all of your initial investment and should not invest money that you cannot afford to lose.

Advertiser Disclosure: Brokerspilot.com helps investors across the globe by spending over hours each month testing and researching online brokers.

How do we make money? Our partners compensate us through paid advertising.

While partners may pay to provide offers or be featured, e.g. exclusive offers, they cannot pay to alter our recommendations, advice, ratings, or any other content throughout the site.

Furthermore, our content and research teams do not participate in any advertising planning nor are they permitted access to advertising campaign data.

Disclaimer: It is our organization’s primary mission to provide reviews, commentary, and analysis that are unbiased and objective.

While Brokerspilot.com has some data verified by industry participants, it can vary from time to time.

Operating as an online business, this site may be compensated through third-party advertisers.

Our receipt of such compensation shall not be construed as an endorsement or recommendation by Brokerspilot.com, nor shall it bias our reviews, analysis, and opinions.

en_USEnglish
Best Forex Brokers Reviews
Logo
Reset Password
Compare items
  • Total (0)
Compare
0