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Aimee Trading journal on #USDX

Price Action and Key Levels * Resistance: The price has been repeatedly testing the horizontal purple line at 98.97 and the upper purple line at 98.91, suggesting this is a key resistance zone. Breaking and holding above this zone would signal strong bullish continuation. * Recent Sell-off (Oct 24): The sharp, large red candle on Oct 24th indicates a sudden burst of selling pressure that briefly pushed the price below the long-term moving average (the black line). * Current State: The most recent candles show the price attempting to recover and currently trading just above the upper purple line but seeming to be struggling to break away from the 98.91 level. Indicators 1. Moving Average (Black Line) * The price action has been primarily above the black Moving Average (MA) for the period shown, indicating an overall bullish trend. * The large sell-off on Oct 24th briefly broke the MA, but the price quickly recovered, showing the MA is acting as a dynamic support level. 2. MACD (Moving Average Convergence Divergence) * Previous Bullish Momentum: Earlier in the period (Oct 21-22), the MACD histogram was in the negative zone but rising towards the zero line, suggesting bearish momentum was weakening. * Current State: The MACD histogram is now very close to the zero line and is starting to turn negative again (as seen by the transition from very small green bars to small red bars), which suggests momentum is stalling or potentially turning bearish. 3. Gator Oscillator (Part of the Alligator Indicator) * The Gator Oscillator measures the convergence and divergence of the Alligators Moving Averages. * "Eating" Phase (Trending Market): Both histograms (above and below zero) are green. * "Waking Up" Phase (Trend Forming): Histograms are of different colors (one red, one green). * "Sleeping" Phase (Range-Bound/Flat): Both histograms are red. * Current State: The oscillator shows a mix of small red and green bars with no clear dominant color or large separation, which points to the "Waking Up" or "Sleeping" phase. This suggests the market is currently range-bound or undergoing a consolidation period after the volatility on Oct 24th. ???? Potential Trade Interpretation Based on this technical picture, the #USDX is at a critical juncture: * Bullish Scenario: A decisive candle close above the 98.97 resistance level, confirmed by the MACD histogram moving clearly into the positive zone (above zero) with increasing height, would suggest a continuation of the uptrend. * Bearish Scenario: Failure to hold above the black Moving Average and a subsequent close below the 98.80 area, combined with the MACD and Gator Oscillator turning more distinctly bearish (MACD histogram decreasing in the negative zone, Gator entering "Sleeping" phase with two red bars), would signal a possible move towards lower support. The most important short-term signal is the price action around the 98.91 - 98.97 resistance zone and whether the black moving average holds as support. Would you like me to look up any fundamental news or economic releases that may have contributed to the volatility around October 24th?