Operational scale Minute (h4 timeframe )
Second half of October – the dollar index #USDX and the GBP in the h4 timeframe – What’s next? – Review of traffic options from October 16, 2020
US Dollar Index
The development of the movement of the dollar index #USDX from October 16, 2020 will continue in the equilibrium zone (92.72 – 93.30 – 93.88) forks of the operational scale Minute, taking into account the development and direction of the breakdown of the range:
- resistance level 93.75 on the lower border of the channel 1/2 Median Line operating scale forks Minuette
- support level 93.60 on the initial line SSL operating scale forks Minuette
The breakdown of the resistance level of 93.75 – continued development of the movement #USDX within the boundaries of the channel 1/2 Median Line Minuette (93.75 – 94.00 – 94.25) with the prospect of reaching the lower border ISL38.2 (94.65) zone equilibrium fork operational scale Minuette and c, then updating the local maximum 94.71.
A joint breakdown of the support level of 93.75 on the initial SSL fork line of the Minuette operational scale and the Median Line Minute (93.30) will make it relevant to develop the movement of the dollar index towards the goals:
– LTL Minuette control line (93.05);
– local minimum 92.98;
– lower limit ISL61.8 (92.72) of the fork equilibrium zone of the operational scale Minute;
– the ultimate Shiff Line Minuette (92.50).
Euro vs Great Britain Pound
The movement of the “main” cross-instrument EUR/GBP from October 16, 2020 will also occur in the equilibrium zone (0.8965 – 0.9018 – 0.9070) forks of the operational scale Minute depending on the working out and direction of the range breakdown:
- resistance level is 0.9136 on the initial SSL line of the operating scale fork Minuette
- support level is 0.9090 on the Median Line of the operating scale fork Minute
A breakdown of the Median Line Minute – support level 0.9018 – followed by a breakdown of the LTL control line (0.9010) of the Minuette operating scale forks – will determine the development of a downward movement of EUR/GBP to the lower border of ISL61.8 (0.8965) of the equilibrium zone of the Minute operating scale forks with the prospect of reaching the local minimum 0.8865.
If the resistance level of 0.9060 is broken, the movement of the “main” cross-instrument will continue in the channel 1/2 Median Line Minuette (0.9060 – 0.9075 – 0.9090) with the possibility of reaching the boundaries of the equilibrium zone (0.9110 – 0.9135 – 0.9161) a fork of the Minuette operational scale.
The review is compiled without taking into account the news background, the opening of trading sessions of the main financial centers and is not a guide to action (placing “sell” or “buy” orders).
The material has been provided by InstaForex Company – www.instaforex.com