Straight forward analysis on daily chart appears to offer a clearly low-risk-high-reward proposition to short the DXY. Further analysis offers a different observation altogether. 4 charts that might confound you or paint you a DXY direction that will jump out convincingly.
It’s about time for a little bit of retracement, consolidation for the DXY. After all markets don’t travel in a straight line – they usually move in zigzags. Besides, there was previously a resistance here so this level might over some support. Price action at the moment with the kink there appears to agree.
DXY has now fallen out 3-year range with new 52-week low with 13-week and 26-week exponential moving average acting as resistance. This setup has happened before, we can see from this example that happened late-2002.
把美金指数DXY看的死死的五个看跌信号：1.季度表现下跌 2.移动平均线做出死亡交叉 3. 平均线成阻力，给DXY盖火锅 4.创52-周新低 （这没话说）5. 雪上加霜再加个头肩顶图形很难看走眼。
Based on 5 simple technical analysis concepts, these two DXY weekly charts from mid-2014 to present show a Dollar Index that terminated previous uptrend.
A look at Dollar Index DXY, EURUSD, AUDUSD, NZDUSD, GBPUSD, WTI and XAUUSD. A common theme – a turning point could be showing up soon seeing how these pairs might be at support.
DXY bulls are happy as long as the index stays above this prominent 2-year support. Bears however have their signal. It is now a matter of time while the index does it’s usual zig zag before the inevitable happens. The signal for DXY to go lower in 2018 is already in place.