Operational scale Minute (timeframe h4)
Option to continue strengthening the single European currency? Or… Overview of driving options #USDX vs EUR/USD from April 28, 2021
US Dollar Index
From April 28, 2021, the movement of the dollar index – #USDX – h4 will proceed in accordance with the development and direction of the range breakout:
- resistance level 81.05 at the lower boundary of ISL61.8 of the balance zone of the pitchfork of the Minute operating scale;
- support level 90.70 on the SSL starting line of the Minuette operating scale pitchfork.
Breakdown ISL61.8 Minute — resistance level 91.05 — resumption of development of the movement dollar index in the equilibrium zone (91.05 — 91.50 — 91.95) pitchfork of operational scale Minute with the possibility of achieving the boundaries of the equilibrium zone (92.05 — 92.50 — 92.95) pitchfork of operational scale Minuette.
If it happens sequential breakdown support level 90.70 on the SSL Minuette start line and the LTL Minuette control line (90.60) then downward movement #USDX can be continued to goals:
– warning lines – LWL38.2 (90.05) and LWL61.8 (89.65) – pitchfork of operational scale Minuette;
– FSL end line (89.60) pitchfork of operational scale Minute.
Euro vs US Dollar
Single European currency – EUR/USD — h4 – from April 28, 2021 also will develop its movement depending on the development and direction of the range breakout:
resistance level 1.2110 on the SSL starting line of the Minuette operational scale pitchfork;
support level 1.2065 at the upper boundary of ISL61.8 of the balance zone of the pitchfork of the Minute operating scale.
When the support level is broken 1.1930 – ISL61.8 Minute – movement EUR/USD will again begin to flow in the equilibrium zone (1.2065 — 1.2000 — 1.1935) pitchfork of operational scale Minute with the prospect of reaching the boundaries of the equilibrium zone (1.1920 — 1.1860 — 1.1800) pitchfork of operational scale Minuette.
With joint breakdown resistance level 1.2110 on the SSL Minuette start line and the LTL Minuette control line (1.2126) will become possible continued development of the upward movement single European currency to the goals:
– warning line UWL38.2 Minuette (1.2200);
— local maximum 1.2243;
– warning line UWL61.8 Minuette (1.2260);
– FSL end line (1.2280) pitchfork of operational scale Minute.
Review compiled excluding the news background, opening of trading sessions of the main financial centers and is not a guide to action (placing “sell” or “buy” orders).
The formula for calculating the dollar index:
USDX = 50.14348112 * USDEUR0.576 * USDJPY0.136 * USDGBP0.119 * USDCAD0.091 * USDSEK0.042 * USDCHF0.036.
where the power coefficients correspond to the weights of the currencies in the basket:
Euro – 57.6%;
Yen – 13.6%;
Pound Sterling – 11.9%;
Canadian dollar – 9.1%;
Swedish krona – 4.2%;
Swiss franc – 3.6%.
The first coefficient in the formula converts the index value to 100 as of the date
the countdown began in March 1973, when the main currencies began to freely
quoted relative to each other.