this here shows a small move we anticipate for dxy to make, after breaking out of the rising channel it then completed the 5th wave and we are now seeing a correction ,the abc correction.
this will be true only if the dollar index won't breach the high of wave 5,,,in which case this will only mean that the elliots wave analysis will be wrong and discredited and thus we will run with the price action of the breakout and retest of the channel,,implying a further rise to the dxy...on the hourly we can see another breakout of a bullish flag..this also an idea for a bullish dxy run....we wait and see what happens...since elliot wave relies on purely human behaviour,,,after buying so much of usdxxx at some point the bears will take charge,,,we will also hope for some momentum since we're going into the holidays thus volatility will be reduced...me personally this is my last trading week.
scenario 1
if the dxy obeys the elliots wave count we will short it back to wave 4. this however is not the main scenario..
scenario 2(the main idea)
there is a weekly OB just above last weeks high..dxy will be looking to grab liquidity up there
this will be true only if the dollar index won't breach the high of wave 5,,,in which case this will only mean that the elliots wave analysis will be wrong and discredited and thus we will run with the price action of the breakout and retest of the channel,,implying a further rise to the dxy...on the hourly we can see another breakout of a bullish flag..this also an idea for a bullish dxy run....we wait and see what happens...since elliot wave relies on purely human behaviour,,,after buying so much of usdxxx at some point the bears will take charge,,,we will also hope for some momentum since we're going into the holidays thus volatility will be reduced...me personally this is my last trading week.
scenario 1
if the dxy obeys the elliots wave count we will short it back to wave 4. this however is not the main scenario..
scenario 2(the main idea)
there is a weekly OB just above last weeks high..dxy will be looking to grab liquidity up there