DOLLAR INDEX | DXY
Looking at the DXY on the monthly time-frame , the market recently liquidated the consolidations supporting price, we will be monitoring the current movement that occurred upon the liquidation of the supporting price level, which has now turned to a resisting price , currently the market retested the supporting price now turned resisting price range/ area of the recently liquidated consolidation phase , currently looking for a possible forced liquidation of the recently formed swing low which is the current years yearly low (2025 yearly low) which occurred at the 96.377 price level
Currently the market is within a range around the yearly low, we will consider this to reflect a problem, we will then look for a reaction, upon the conclusion of the reaction phase we will consider taking long positions pushing the price a bit to the upside to reverse the current years losses
Based on the yearly price movement , possible we could see the market reducing in value till January of 2026 before any reversal is presented forth within the market to make any substantial reversal or retracement to reverse the current years losses , this will be based on a **MICRO** outlook , considering the **MACRO**outlook , we would consider September 2025 to provide a reversal , but the current momentum reflect low probabilities of that occurring , unless a catalyst is provided that will minimize the time in which the market retest the 92.00-92.000 price level , which will be an area in which we will then consider hedging against the current bearish movement
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VOLATILITY INDEX 75 POTENTIAL EXTENSION
Looking at Volatility Index 75 on the Monthly time-frame , the market currently trending around the previously formed supporting price level, which also confluences with the retest of the **MACRO DEMAND PRICE AREA** , The market has tested the price range in which it broke out of during the rally (58623.00 price area), we will carefully monitor the movement around this area, taking into consideration the current consolidation phase, which can be regarded as a potential thesis , possible reduction in the value of the VIX75 before the rally, to create an induction phase, before the rally
This will result in the potential removal of the floating **DEMAND** resulting in the conclusion of a reaction phase, which will lead to us to consider long positions upon the conclusions of a reaction phase, we will look for a possible hedge against the current bearish trend UPON THE RETEST THE 35768.40 DEMAND AREA /PRICE LEVEL
A break below the 28350.34 swing low, might result in a further reduction in the value of the VIX75 resulting in the formation of a potential all time Low
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GBPUSD POTENTIAL RALLY
Looking at GBPUSD on the monthly time-frame , the market recently liquidated the previous year's high(2024 YEARLY HIGH)the market has yet to make a substantial liquidation of the 2024 yearly high, for now we will consider this as an excess price , we will consider the previous high to be liquidated upon the market rallying the same distance or an equivalent distance of from the controlled price to the resisting price level of the fair value area , which will be around the 1.37500 price range
We can regard this as the beginning of the 3rd phase or the bullish movement / rally, an increase in the value of GBPUSD will lead to the completion of the **MACRO CYCLE**, we will take this into consideration
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