Good afternoon team,
We are looking to go long on the DXY due to a number of technical reasons.
DXY Weekly Charts
The DXY is currently trading on a key trend line support.
Last weeks candle close is known as a doji candle, similar to a hammer candle. When found at the bottom of a trend it can indicate a change in momentum. Buyers are stepping in pushing the market higher.
We are now adding a BUY position on the index anticipating a move higher and a clean break of the negative trend line.
Stop loss needs to go below the swing low.
Trade Setup: BUY – Market Execution, current price on Focus markets 9310.0, stop loss set at 9200 and take profit left to run.
Stop loss: 110 pips
FOCUS Markets CODE: USDOLLAR
Please check the specification when trading the USD Index.
1 contract =$10. This means every 0001.0 movement = $10 USD.
0.1 contract = $1. This means every 0001.0 movement = $1 USD.
Swing trade, expect time 1-2 weeks.