Day trading strategy for the dollar index

We begin our analysis of the dollar index this morning with
the heat map, which is showing us a RED performance on the USD, so we know the dollar
index is moving lower which tells us the higher percentage trades will be BUYING
this morning until this changes, so we will keep an eye on this today.

The 89 range chart will be used to find the advanced
price-structures and the most important levels of support and resistance. We aren’t going to find the short-term-trend on
this chart timeframe, but we WILL find the big picture levels where we can
expect price to reverse, which will be vital for the best trades today.

The 89range chart shows us lots of overhead resistance at
the highs of the bear price wedge. We can
see multiple trigger-zones as resistance overhead and its clear that price will
have an easier time falling lower than it will moving higher, and with the heat
map saying it will move lower it makes all the sense in the world to look for
falling prices.

We move to the faster 13 range chart and we can see the short-term-trend
is moving lower in a bear price channel.
We can see the PLOD is right below us, so beware if the dollar index sits
on top of the PLOD we need to be careful.
We like to trade around the PLOD the first few times, but if it chops
back and forth it becomes a big concern.

We can see support below us at the price channel
lows and the major swing-low in blue labels, and we see resistance overhead in
the form of the trend line, the HOD, and the highs of the price channel. We know to wait patiently for the dollar
index to have strong market personality, and that comes most often around the
points of support and resistance on this chart timeframe.