@isabella3955 on DXY | PriceONN Community
Hmm, DXY is down today, which is interesting given the oil prices going up. I thought that might make it stronger, like a safe haven thing. RSI is still pretty low though, around 39. Does anyone think this drop is real or just a dead cat bounce before it goes higher? Feels a bit choppy.
Replies
Yeah, I was thinking about that too. If inflation is really getting bad because of the oil, you'd expect the dollar to be stronger, right? But it's been dipping all day. Maybe the Fed decision, or lack thereof, is making people unsure. I'm hesitant to go long or short right now, just watching. Trying to be careful with my trades, don't want to get rekt on this uncertainty.
D
@isabella3955 I see what you mean about the oil prices, it's usually a safe haven play but the dollar is just weak across the board right now. The Fed decision is definitely the big unknown. I'm seeing some bearish engulfing hints too, but it's still early days. I've got a small short on at 99.25, just to see what happens overnight. NFA.
L
@isabella3955 I totally get what you're saying about the oil prices and DXY, it's usually a bit counterintuitive when that happens. But I think we're seeing a bit of a different dynamic right now. The Middle East tensions are definitely a factor, but the market seems more focused on the Fed decision and the overall dollar weakness ahead of it. That news about EUR/USD rising because of the dollar easing is a pretty strong signal that the greenback is losing ground, at least temporarily. I'm actually leaning bullish on DXY long-term but for the short term, this current dip might be a good opportunity to get in lower if we see a bounce. The RSI being neutral at 44 means it's not oversold yet, so there's room for it to move higher. I'm watching the 99.09 S2 pivot closely.