DXY Triple Zigzag Hints At Major Correction

The structure of the DXY index hints at the development of a large triple zigzag w-x-y-x-z of the cycle degree.

At the time of writing, a cyclic actionary wave z is under construction. The internal structure of the wave z suggests a triple zigzag Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ. The primary wave Ⓩ is still in the process of development. It seems to take the form of a double zigzag (W)-(X)-(Y) of the intermediate degree.

Prices can continue to push to 106.58. At that level, wave z will be at 161.8% of previous actionary wave y.

Now let’s look at an alternative scenario. In the second variant, it is assumed that the cycle actionary wave y was a primary triple zigzag.

If this option is confirmed, then the market will move lower, building a cycle intervening wave x. It will most likely take the form of a primary zigzag Ⓐ-Ⓑ-Ⓒ.

The price could fall to 99.07, as indicated on the chart. At that level, wave x will be at 38.2% of wave y.

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About the Author
“John Benjamin Resident Analyst at Orbex. John has over 8 years of experience specializing in the currency markets, tracking the macroeconomic and geopolitical developments shaping the financial markets. John applies a mix of fundamental and technical analysis and has a special interest in inter-market analysis and global politics.” [space height="10"] At Orbex, we are dedicated to serving our clients responsibly with the latest innovations in forex tools and resources to assist you in trading. Please Director at Visit our site for more details.

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