DXY - How To Use DXY To Enter Trades 🎯

For almost a year DXY has been in an uptrend but we may soon be at the end.

Last Friday, DXY closed with a bearish candle at the double top region, indicating that there are al lot of sellers at that level. If we continue to show bearish pressure, we can soon end that uptrend and take advantage of USD weakness across the board.

Here's a brief breakdown on how to use DXY:

DXY up = USD Strength. DXY down = USD weakness

1. Analyse DXY for reversal zones and identify what the next move is
2. On this chart we can see that DXY is indicating bearish price action
3. Now that DXY is at an important level, go on to your USD pairs and analyse them
4. Find out if there's any XXXUSD LONG ideas or if there's any USDXXX pairs that are at the best place to SELL
5. Correlate the DXY movement with the USD charts e.g. DXY showing bearish price action which makes EURUSD buy a great idea as EURUSD is at a key level.

Hope that helps!

Goodluck and as always, Trade Safe!

Kommentera:

Just how DXY is at a double top, EURUSD is at a double bottom. We can see how often EURUSD has shown as double somethings and it respected it each time.