In fact I had to move No. 3 in the wave count a bit higher since my prognosis in the last post, but I still believe USD is building an interim top hereard 81,50.
Daily: DI+ line crossed back below ADX. ADX is at same high level as at Wave No. 1. This calls for cautiousness. MACD lines converging, Slow Stoch may give a sell signal, but still hesitant a bit. Corrective retest level would be +/-80,80-81,00 -> Kijun Sen, Future Kumo bottom, previous Chikou peak. Bullish trendline also catching up to this level.
Yesterdays candle shows exhaustion too, but we can not exclude one more spike higher on back of Draghi's comment (since major component of the Index is EURUSD).
4 Hrs: A bit less bullish at mom. Top consolidation pattern is seen here, with Chikou Span hitting the Price candles. Also Price had few break attempts below Kijun Sen. Classic Ichimoku followers often use this as a partial TP signal. (First close below Kijun Sen). Tenkan/Kijun is still bullish though. ADX coming down, bullish momentum loosing steam. Price should move quickly higher to keep bullish swing traders in the game. Break below 81,27 will start the counter trend, and eventually a swing down to 80,80-81,00 could happen
This post is rather an observation and let' say a TP on Longs idea, than a call for going short in USD Indx.
I would try counter short only at a hit below 81,27.
Daily: DI+ line crossed back below ADX. ADX is at same high level as at Wave No. 1. This calls for cautiousness. MACD lines converging, Slow Stoch may give a sell signal, but still hesitant a bit. Corrective retest level would be +/-80,80-81,00 -> Kijun Sen, Future Kumo bottom, previous Chikou peak. Bullish trendline also catching up to this level.
Yesterdays candle shows exhaustion too, but we can not exclude one more spike higher on back of Draghi's comment (since major component of the Index is EURUSD).
4 Hrs: A bit less bullish at mom. Top consolidation pattern is seen here, with Chikou Span hitting the Price candles. Also Price had few break attempts below Kijun Sen. Classic Ichimoku followers often use this as a partial TP signal. (First close below Kijun Sen). Tenkan/Kijun is still bullish though. ADX coming down, bullish momentum loosing steam. Price should move quickly higher to keep bullish swing traders in the game. Break below 81,27 will start the counter trend, and eventually a swing down to 80,80-81,00 could happen
This post is rather an observation and let' say a TP on Longs idea, than a call for going short in USD Indx.
I would try counter short only at a hit below 81,27.
