Elliott Wave Analysis: USD Index Trading In A Temporary Correction; More Gains Ahead
The updated chart of USD Index shows us that pair is trading at the start of red wave 5) of 3, that can face a minimum three wave corrective reversal after blue wave 3-circled finds a top. Afterwards a temporary correction should follow within the upcoming wave 4-circled to around the upper corrective channel line.
USD Index, Daily
Regarding the 4h chart. On the USD Index, we can see that price made a sharp reversal lower at the end of the previous week. As such we believe this complex corrective wave 4) is still unfolding, now in final stages of wave Y. That said support may come in play around the 99.50 level, where the former wave 4 is located. A rally above the upper corrective channel line would indicate this correction being over and more upside to follow.
USD Index, 4H
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