So far, I am seeing a head and shoulders for the US Dollar Index daily chart.
To actually trade this, another movement down to 99.40 area is needed to fully form this.
However, Thursday's daily candle actually managed to close above the first shoulder's resistance - which leads me to watch this pair carefully and not rely on any bearish movement. My thinking is that since that green candle broke 102.05, that price has a greater chance of breaking out to the upside and moving upwards to the 103.50 area. A break of 102.35 level will confirm this bullish up move.
Remaining neutral
(Linked is the bullish Gold analysis)
To actually trade this, another movement down to 99.40 area is needed to fully form this.
However, Thursday's daily candle actually managed to close above the first shoulder's resistance - which leads me to watch this pair carefully and not rely on any bearish movement. My thinking is that since that green candle broke 102.05, that price has a greater chance of breaking out to the upside and moving upwards to the 103.50 area. A break of 102.35 level will confirm this bullish up move.
Remaining neutral
(Linked is the bullish Gold analysis)
