DXY: 1D MA50 and Channel Down rejection

DXY which is short for the U.S. Dollar Index, got rejected at the top of the Channel Down and the 1D MA50. The 4H MA200 is providing the short term Support but since the 1 day sequence is Lower Highs and Lower Lows, it should break on the next Low.

The 1D technicals are neutral (RSI = 54.316, MACD = -0.150, ADX = 34.104) after turning overbought yesterday and the day before. The last time the 4H RSI was overbought was on January 6th which was the previous Lower High. The last two Lower Highs settled initially for a -2.50% price fall, so our target will be right over that limit (TP = 101.500).


Previous chart:



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