June 7, 2012
- in Uncategorized by schooloftrade
Dollar index day trading strategy
Dollar index falls lower this morning below the trigger-zone supportof 82.350. clearly the strong euro after
news from the ECB buying up Italian Bonds is the reason people are taking
profit on the US dollar index and moving that over to the oversold euro.
With the dollar index falling lower we know this will buyingopportunities so lets buy pullbacks with new higher-highs on the markets we
trade today. If the sellers stall and
fail on the dollar index at this 82.040 support we will see a price reversal on
the dollar index as well as every other market the same.
So if the dollar index keeps moving lower
through support we buy pullbacks and if the dollar index reverses off this support
we sell retracements. Also, don’t forget
the dollar index LOVES to sit right on top and trade sideways, and if a
sideways range occurs on top of the support below we need to trade sideways
ranges on the other markets we trade.
