The situation is very stalemate, you can't run away from shock

August. 26,2021
The situation is very stalemate, you can't run away from shock

First look at the trend of the US dollar index yesterday, the overall appearance of a small Yinxian pattern, although there are a little shadow line up and down, but the length is relatively short, it does not actually play a role. In the hourly and time-sharing charts, the trend of the US dollar index is entirely a shock pattern. The price first rose and then fell. There were many shocks during the period, and finally closed at a low level. Therefore, the daily chart showed a Yinxian pattern.

However, the U.S. dollar index suddenly rushed up early today, pulling out a small wave of rising prices. The highest point of this wave of rising is very close to yesterday's high, giving people a feeling that the U.S. dollar index is about to reverse...but the U.S. dollar index is true. Will it be reversed? The answer is unknown. In view of the current situation, the possibility of the US dollar index showing a turbulent pattern is very high. Therefore, whether the US dollar will rebound and rise in the end can only be informed by the market. At least no one dares to easily determine.

I believe everyone will understand after seeing that the current problems in the United States are still quite serious. There are a lot of negative factors, but not many positive factors. If judged from this level, it will obviously exert tremendous pressure on the US dollar index, thereby depressing the US dollar. The index fell.

However, the U.S. dollar index has been completely decoupled from the value of the U.S. dollar. That is to say, the U.S. dollar index is completely in a state of independent operation. Fundamental and technical information can only have a certain impact on the U.S. dollar index, and cannot have a decisive impact, but is decisive. The influencing factors still depend on market demand, so judgments surrounding market demand are particularly important and even urgent.

The sorting out of market demand can go from technical to fundamentals, and then expand to economic, geopolitical, and even political. The difficulty of each level rises geometrically, but only through a clear and thorough analysis can we find out. The real demand of the market can also give an effective judgment on the trend of the US dollar index. Although this process is difficult, it is a true portrayal of the current market.

Regarding today’s market demand, it will tend to fluctuate. The reason is that the market has fallen for three consecutive trading days, and it is normal to show a certain anti-volatility market today. In addition, the market’s current decline in demand is not large, so it is entirely possible to fall into shock. , Therefore give the shock market judgment.

At the operational level, combined with the above analysis, we can overestimate the low slag dollar index and non-US currencies today. However, if you must choose the direction, short the US dollar on rallies and buy non-US currencies and precious metals on dips. This will be relatively feasible today. Operation ideas for your reference!

Trading straregy:

EUR/USD:

From the perspective of trend, there is actually a certain pause in Europe and the United States. After all, the market cannot achieve a rise overnight, so the necessary pause is necessary. The operation maintains a shock judgment, combined with the market to give advice on buying on the dip, and refer to the operation as appropriate. Weak warehouse:

Buy in the 1.1720-1.1730 range, stop loss 20 points, and target 1.1750, 1.1770, 1.1790.

GBP/USD:

Today’s second operation currency pair, I choose the European-based pound-US transaction, and the operation idea also maintains a volatile pattern. It is good to find the opportunity to buy on the dip. Combine the disk and give the following suggestions. Refer to the operation as appropriate. Weak position:

Buy in the 1.3690-1.3700 range, stop loss 20 points, and target 1.3720, 1.3740, and 1.3760.

gold:

With the decline in the gold market, the overall situation is considered normal. After all, gold has risen for so long, and the market has long brewed adjustment demand. After the release of this adjustment demand, gold will continue to rise. Know.

At the operational level, today, choose the opportunity to buy on dips, and give the following suggestions in combination with the market. The market will do it when the opportunity is given, and wait and see if it is not given. Weak position:

Buy in the range of 1787-1788, stop loss 3 US dollars, target 1791, 1795, 1800.