HomeContributorsTechnical AnalysisDXY: A Bearish Wave (Y) Has Started, Preparing to Sell

DXY: A Bearish Wave (Y) Has Started, Preparing to Sell

In the long term, the dollar index can form a triple zigzag pattern, which consists of primary sub-waves. At the moment, the sub-waves look complete. The second intervening wave is a standard zigzag.

Most likely, the price drop in the primary wave will continue in the next coming days. Judging by the internal structure, this wave can take the form of an intermediate double zigzag.

The end of the bearish pattern is expected near 96.364. At that level, primary wave will be at 76.4% of wave.

We propose to consider an alternative scenario in which a wave z is formed in a triple zigzag w-x-y-x-z.

The structure of the wave z is similar to the zigzag. In its composition, the first impulse and the correction in the form of an intermediate double zigzag have already been completed. The entire wave z can end near 114.75, that is, at the maximum of the primary impulse wave.

However, the first target where the bulls will go is the maximum of 105.94, which was marked by the intermediate intervening wave (X).

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