Our mission is to help you obtain financial freedom. Checkout Our Youtube Channel Checkout Our Youtube Channel

U.S. Dollar Index (DXY) Dips Below $100, Sparks 7 Week Rally to Bollinger Band Highs

There have been a lot of media narratives surrounding a weak U.S. dollar, which has been further fueled by China and Russia improving their alliance through the BRICS nations to compete with G7.

Key Support Level:
– The white trendline has been a key support level at $101, which has been successfully defended twice (marked by the green arrows).
– However, there was a short-term break below this $101 support level (marked by the white circle) that also resulted in a break below the Bollinger Band support.
– Although this break below support is a sign of weakness, there was a lot of bullishness with DXY buying this discounted opportunity. This sparked a strong 7-week DXY rally to the upper range of the Bollinger Band.

Key Yellow Trendline
– DXY’s 7-week rally appears to be running out of steam with DXY printing its first red candle this week. However, today is Wednesday and there is still more time before the weekly candle closes.
– I think that DXY will have a brief correction back down to the yellow trendline around $103.

TradingView Chart:

Inline Feedbacks
View all comments

More ClearValue Insights

Default Thumbnail

Beyond Jobs: Why Recent Employment Figures May Not Sway the Fed

These past few days have been quite uncertain, especially regarding what is in store for interest rates in the U.S. But with the latest news revealing that nonfarm payrolls surged by a hefty 303,000 in March, beating expectations and showing a significant jump from the previous month, and with the unemployment rate holding steady at […]

Read More
Default Thumbnail

Against The Tide: The Contrarian View On Fed Rate Cuts

Following the Federal Reserve’s recent decision to keep rates unchanged and the suggestion of future rate cuts later in the year, there’s been a prevailing sense of optimism among many investors, with reassurances that these anticipated rate cuts will materialize eventually. However, Vanguard is offering a different view point as they are suggesting that the […]

Read More
Default Thumbnail

A recommendation.

It would certainly be helpful if the posts and contend on this site would be dated. I get tired of reading recommendations and never know how old they are. Help us to know what is new vs stale info and recommendations.

Read More