The Dollar’s Last Stand

This setup seems obvious… [Jeff Clark's Market Minute]( The Dollar’s Last Stand By Imre Gams, analyst, Market Minute Between February 2 and March 8, the U.S. Dollar Index (DXY) rallied just over 5%. Since then, DXY has given back all of those gains. This has left currency traders wondering when the dollar is going to make its next big move and in which direction that move will be. Recommended Link [The #1 stock for 2023]( [image]( Investment expert Brad Thomas knows how to pick stocks. He bought Starbucks back in 2006… He bought Nike in 2003… And he and his team delivered a near-perfect track record from March 2020 to September 2022. Now, for a limited time, he’s revealing his #1 stock for 2023… [Get its name here.]( -- The “when” part of the equation seems quite straightforward. The Fed’s next meeting is on May 3, when they will announce their next interest rate decision. Whatever the outcome, it’s almost guaranteed there will be significant volatility in the markets. Which direction the dollar will take is a lot more complicated… That’s why I’ve prepared a fresh chart of the U.S. Dollar Index below so I can walk you through both a bullish and bearish case. Check out the chart below… [(Click here to expand image)]( The key feature of this chart is the large head and shoulders pattern that’s been taking shape since July 2022. This chart pattern is a classic bearish setup made up of three components – the left shoulder, head, and right shoulder. Once all three pieces of the pattern are in place, you can draw the neckline which connects the bases of both shoulders. The pattern is complete once prices break below the neckline. [Millionaire Trader Reveals: How to Make One “Backdoor” Currency Trade – Every Month – And Start Making All the Money You Need to Fund Your Retirement]( Free Trading Resources Have you checked out Jeff's free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career – at zero cost to you. Just [click here]( to check it out. There’s only one issue with this particular head and shoulders setup… it’s too obvious! I scanned my Twitter feed to see if any other traders have spotted the same pattern, and indeed they have. This pattern has garnered thousands of views on Twitter alone. As Jeff Clark likes to say, the market rarely rewards the popular trade. That doesn’t mean that the dollar isn’t due for a lot more downside, it just means that I recommend being cautious with this particular setup. I’d like to see at least three days where DXY is trading below the neckline. If we get that occurrence, then I’ll be a lot more inclined to trust the pattern. But on the other hand, it’s also very possible that dollar bulls will step in to defend the currency, negating the bearish potential of this pattern. Either way, the dollar seems poised for a big move. Until the direction of that move becomes clearer, it’s advisable for currency traders to stay on the sidelines. I’ll be sure to update you on the dollar’s movements very soon. Happy trading, Imre Gams READER MAILBAG What do you think about DXY’s next direction? Let us know your thoughts – and any questions you have – at feedback@jeffclarktrader.com. IN CASE YOU MISSED IT… [Financial genius reveals unusual investment strategy that works in ANY market]( Once you see this strange financial maneuver - you’ll never look at the stock market the same way again... [Click here for LIVE footage.]( [image]( [Jeff Clark's Market Minute]( Jeff Clark Trader 55 NE 5th Avenue, Delray Beach, FL 33483 [www.jeffclarktrader.com]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. To stop receiving these emails, click [here](. Jeff Clark Trader welcomes your feedback and questions. But please note: The law prohibits us from giving personalized advice. To contact Customer Service, call toll free Domestic/International: 1-800-752-0820, Mon–Fri, 9am–7pm ET, or email us [here](mailto:contactus@jeffclarktrader.com). © 2023 Omnia Research, LLC. All rights reserved. Any reproduction, copying, or redistribution of our content, in whole or in part, is prohibited without written permission from Omnia Research, LLC. [Privacy Policy]( | [Terms of Use](