DXY Just Flashed a Bullish CHoCH (Here’s What I’m Watching Next)

Why It Matters

The bullish CHoCH could drive USD strength, affecting forex, commodities and equity markets, while the identified support‑resistance zones give traders clear, actionable entry points.

Key Takeaways

• DXY shows bullish change of character on 1‑hour chart.
• Break above recent highs signals new break of structure (BOS).
• Pull‑back buying remains viable strategy if price retests support.
• Falling below 98.8‑99 could flip sentiment to bearish.
• Imbalance zones highlight potential reversal points for the dollar.

Summary

The video analyzes the U.S. Dollar Index (DXY) after a bullish change of character (CHoCH) on the 1‑hour timeframe, suggesting the pair has shifted from a corrective pull‑back to an upward trend.

The host points to a potential new break of structure (BOS) if the DXY closes above the recent swing high around 104.5, and recommends buying on subsequent pull‑backs toward the prior low. He also notes that a decisive break below the 98.8‑99 zone would invalidate the bullish bias.

“As long as we maintain this, the dollar does look bullish,” he says, citing the imbalance zones near the 104.5 high and the 98.8 low as key reference points for entry and exit.

For traders, the analysis implies a continued long bias on the dollar with risk management focused on the 98.8‑99 support; a breach there could trigger short positions and shift market sentiment.

Original Description

The DXY just printed a bullish change of character, which keeps the bigger picture intact for the US dollar.

Even with the recent pullback, I still like the idea of buying dips as long as this structure holds. The key level now is the recent highs. If the dollar gets a close above that area on the 1-hour chart, it would confirm a new BOS and likely open the door for the next leg higher.

On the flip side, if the DXY were to break the lows around the 98.8–99 region, that would change things and could shift the outlook to bearish. But right now, there’s no reason to fight the dollar while this bullish structure remains in place.

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