09.10.201709:05 Forex Analysis & Reviews: Ichimoku indicator analysis of USDX for October 9, 2017

Long-term review

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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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