Dollar index day trading strategy correlation

We can see the dollar index is
trading in a price wedge inside this bear price channel so we know the high-percentage
trades will be selling from the highs of the range.  We’re trading inside the range from Friday so
we expect prices to trade within Friday’s range from lows to highs and highs to
lows.  We can see we began the day around
the lows of the short term trading ranges, which is why price is rising off
these lows.  We’re at the lows of the price
wedge and the lows of the range, so we expect prices will try to rise.  The 89-range and the 55-range charts show us
much of the same.  We did find an
additional AB=CD Support zone below on the 55-range so that is additional support
if price moves lower.

My job for using the dollar index
is to find the most important levels of support and resistance so that we can
identify where the high-percentage trades will occur today on the markets we
trade using the correlation with the dollar index.

The 21-range chart of the dollar
index shows the bear price channel which will give us support and resistance levels
to use this morning.  We can see the support
at the price channel lows has held and the dollar index is rising off the lows.
We can see a LOT more details on the 21 range chart, specifically we can see
the sellers had failed below the PLOD early this morning and that tells us that
the dollar index price will likely go higher after the PLOD held as support.