FX.co ★ DXY Potential For Bullish Continuation | 23rd September 2022

On the H4, price is still respecting the bullish channel and has failed to break the first support- we are bullish bias. Price has broken the previous high to test at the first resistance at 111.747 where the 127.2% extension sits. If bullish momentum continues, it should bring price toward the second resistance at 112.493 where the 78.6% projection sits. Alternatively, it could pull back to test the first support at 110.734 where the 23.6% retracement and previous swing high sits then the second support at 109.294 where the 78.6% projection,61.8% retracement and overlap support sits

Trading Recommendation

Entry: 111.747

Reason for Entry:

Breakout buy entry, 127.2% extension

Take Profit: 112.491

Reason for Take Profit:

78.6% projection

Stop Loss: 110.734

Reason for Stop Loss:

Previous swing high, 23.6% retracement