Shooting Start in the Dollar Index – Good Time to Catch Retracement!

So far, the dollar index has traded precisely as per our forecast to target $97. The bullish trend initiated after the dollar index broke out of an ascending triangle pattern at $95.45.

For now, the index has formed a candlestick pattern shooting star right below the target level of $97. This pattern is known for a bearish reversal especially when it’s followed by a strong bullish trend.

Dollar Index – Daily Chart

We can’t say whether there’s going to be a bearish reversal or not, but it has nice chances to go for a bearish retracement. So for now, the dollar index is likely to take a slight bearish turn to complete retracement at $96.25 (23.6%) and $95.85 (38.2%). Good luck!