US Dollar Bearish With 104 in Sight
2024.07.15 07:13
remains bearish despite a gap higher following the attempted assassination of Donald Trump. One reason for some gaps on FX markets in the direction of the dollar is the potential inflationary impact if Trump wins the presidential election this year.
Looking at the intraday chart of the Dollar Index, we see some very nice lower highs and lower swing lows, indicating that bearish strength is still in progress.
This can be even deeper and more extended than initially thought. There is a potential minor triangle here in red wave four, so be aware of more weakness beneath 104 to complete the extended third wave. Even if we see a rally in the near term, there will still be more downside potential after the blue wave four, with resistance around 104.15 in such a case.
