Good afternoon team,

The S&P500 has moved back to breakeven overnight and we are still live on the AUDUSD, just! We have been waiting for a pullback in the market to buy into either the EURUSD or the GBPUSD. This appears to have taken place, so we are looking to go long against the DXY. The DXY (USD Index) has set up a bearish head and shoulders formation alongside a rising wedge breakdown on a bearish divergence. The technicals are suggesting a bearish reversal on the DXY.

DXY Technical Analysis

EURUSD 1 Hour Chart

Trade Setup: BUY STOP, Entry Price 1.0506, stop loss 1.0393 and take profit 1.0726.

Stop loss: 113 pips

Take profit: 220 pips