FX.co ★ DXY Potential For Bullish Continuation | 21st 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 bounced off the first support at 109.323 where the 23.6% retracement sits. If bullish momentum continues, it should bring price toward the first resistance at 110.698 levels where the 127.2% extension and previous swing high sits. Alternatively, it could break the first support to bring price to the second support at 108.007 where the 61.8% projection, 50% retracement and previous swing low sits

Trading Recommendation

Entry: 109.323

Reason for Entry:

Previous swing low, pull back buy entry

Take Profit: 110.698

Reason for Take Profit:Previous swing high, 127.2% extension

Stop Loss: 108.007

Reason for Stop Loss:

61.8% projection, previous swing low