Dollar Index (DXY) – Bearish Minor 5 – Trend Continuation
Dollar Index (DXY) bounced off the Reversal Area pointed out in the previous “Dollar-Index-DXY – Market Crash Road Map – Full Elliott Wave Cycle” and commenced the Corrective Pattern for Minor 4 (red).
Reversal also posted on previous posts in Trends & Hot-Spots section:
“Dollar-Index-DXY – Bearish Corrective Minute B – Bullish Retracements: GOLD | SILVER | EUR/USD | GBP/USD”
“USD Reversal – Metals Correction – FX Majors Weaker”
It seems like the Dollar Index (DXY) is approaching what is called the “Golden Section” in Elliott Wave Analysis which acts as a Point of Interest or Vibration Level, drawing the Price Action towards it as a magnet. Golden Section usually acts as Trend Continuation Levels, in the Dollar’s case a Bearish Trend Continuation for Minor 5 (red).
If the above would be correct, then the Dollar Index (DXY) could resume the Dominant Trend and finalize Minor 5 (red) and with it the entire Intermediate (C) leg (turquoise), thus completing the Cycle in Primary Wave A (blue).
Daily Chart (picture):
2H Chart (picture):
Dollar Index (DXY) – Corrective Minor 4 – Wave Analysis:
- Minute A (blue) commenced on the up-side showing a 3 Swing Sequence in its Minuette ABC Sub-Waves (orange).
Minuette (a) (orange) shows a typical 5 Swings Motive Structure.
Minuette (b) (orange) shows a deep pull-back in a Zig-Zag Pattern.
Minuette (c) (orange) shows an Extension, which took a form of an Wedge, making the entire Minute A (blue) develop as a Leading Diagonal for the overall Corrective Structure. - Minute B (blue) retraced as a Triple Three Pattern, showing a Complex Structure in its Minuette WXYXZ Sub-Waves (purple).
- Minute C (blue) is possibly taking form of an Expanding Ending Diagonal, with 2 legs awaiting to finalize, which are Minuettes (iv) & (v) (black).
A Bearish Divergence would be awaited at the end of Minuette (v) (black).
2H Interactive Chart:
Charts & Structures (preview):
EUR/USD:
GOLD (XAU/USD):
SILVER (XAG/USD):
OIL (WTI):
USD/CHF:
USD/JPY:
DAX30:
S&P500:
DOW30:
