DXY: Looks like a reversal in play

2 בספט׳ 2017

The Dollar Index is in a clear bearish trend in weekly as well as in the daily chart mentioned in the blue lines. But now it looks like the bottom has been made at least for the short-term. As far as I know the candle that has been made last week is considered as a reversal candle and Dollar index needs one more supportive bullish candle next week to validate the reversal. RSI 5 has been in an oversold territory for too much time and now we can see clear divergence in weekly RSI 5 as I mentioned in my chart. This indicates that a strong bounce in dollar is coming. I expect the next couple of weeks to be the bullish weeks and the dollar index could visit 96.50-97 area. My minimum target is 96 and I am bullish as long as bulls are above 92.

Recommendations: Long at 92.70 with stop loss at 91.80, Target 96