Ichimoku indicator analysis of USDX for October 9, 2017

The Dollar index is showing reversal signs of the daily Ichimoku cloud resistance at 94. Price remains inside the bearish channel however we do not have a confirmation that a new downward move has started.


Black lines - bullish channel

Red lines - bearish divergence signs

The Dollar index continues to trade above the 4-hour Kumo (cloud) support. Trend remains bullish as price is making higher highs and higher lows. However there are several warning signs justifying a full-scale reversal. Both RSI are diverging. Price has broken below the bullish channel. Price is at important resistance.


Black lines - bearish channel

On a weekly basis price remains inside the bearish channel. Price has reached the upper channel boundary and is showing signs of rejection. However only a break below 93 would confirm the bigger reversal in prices. My view is that we will see that reversal materialize.

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