WHAT’S HAPPENING IN THE FOREX MARKET?
The Dollar Index seems to be making new lows everyday, definitely going to end the year as a big bearish yearly candle.Looking at the Greenback from a higher time-frame perspective i..e. yearly time-frame, you can see it has formed a big bearish candle that engulfs 2019 yearly candle and we should expect possible further drop to the lows from 2018.
Breaking out of that consolidated area (shown on chart) will signal further weakness for the Dollar.
It might be running out of steam for this week though and a few major pairs like the EURO DOLLAR & DOLLAR SWISSY showing similar patterns. But kindly note that these moves are counter trend to this week’s PA – Price Action.
If you do decide to go against the trend then ensure to implement proper Risk management and Stop Loss.
For CT trading, some might decide to use the MACD, RSI and other reversal indicators in conjunction with PA to lead the way.
Trade safe everyone and have a good one today.