Minor operational scale (Daily)
The second decade of May - options for the development of the movement of major currency instruments from May 11, 2020 #USDX vs EUR/USD, GBP/USD, and USD/JPY (Daily).
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US dollar index
From May 11, 2020, the movement of the dollar index #USDX will be determined by the development and direction of the breakdown of the range:
- resistance level of 99.90 at 1/2 Median Line Minor;
- support level of 99.55 at the upper border of the ISL38.2 equilibrium zone of the Minor operational scale fork.
If the upper limit of ISL38.2 of the balance zone of the Minor operational scale fork is broken - the support level is 99.55 - the development of the #USDX movement will continue in the balance zone (99.55-98.57-97.55) of the Minor operational scale fork with the prospect of reaching the final Shiff Line Minor (96.05).
In turn, the break of the 1/2 Median Line Minor - the resistance level of 99.90 - will determine the resumption of the upward movement of the dollar index to the upper border of the channel 1/2 Median Line (101.00) of the Minor operational scale fork prospect of the achievement of the channel borders 1/2 Median Line (102.34-103.40-104.55) of the Minuette operational scale fork.
The layout of the #USDX movement options from May 11, 2020 is shown on the animated chart.
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Euro vs US dollar
The single European currency EUR/USD will continue to develop its movement within the borders of the 1/2 Median Line channel from May 11, 2020 (1.0890-1.0810-1.0700) of the Minuette operational scale fork - details are shown on the animated graph.
The breakdown of the upper border of the channel 1/2 Median Line of the Minuette operational scale fork - resistance level of 1.0890 and further the development of the single European currency will flow in the channel borders 1/2 Median Line (1.0890-1.0980-1.1080) and equilibrium zone (1.1035-1.1145-1.1245) of the Minor operational scale fork.
If the support level of 1.0700 breaks at the lower border of the channel 1/2 Median Line Minute, it will become relevant to update the local minimum of 1.0636 and the price of EUR/USD will reach the control-LTL (1.0560) and warning - LWL38.2 (1.0535) of the Minor operational scale fork.
Options for EUR/USD movement from May 11, 2020, depending on the processing of the channel 1/2ML Minute are shown on the animated chart.
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Great Britain pound vs US dollar
The development of Her Majesty's currency movement GBP/USD from May 11, 2020 will be determined by the mining and direction of the breakdown of the boundaries of the equilibrium zone (1.2400-1.2180-1.1950) of the Minor operational scale - the markup of movement inside this equilibrium zone is presented on the animated graph.
The breakdown of the top border ISL38.2 zone equilibrium of the Minor operational scale fork - the resistance level of 1.2400 - the movement of Her Majesty's currency will continue to the borders of the zone of equilibrium (1.2515-1.2825-1.3110) of the Minuette operational scale fork and channel 1/2 Median Line Minor (1.2655-1.2825-1.3014).
If there is a breakdown of the lower border of ISL61.8 of the balance zone of the Minor operational scale forks - the support level of 1.1950 - then the downward movement of GBP/USD can be continued to the initial SSL line (1.1610) of the Minuette operational scale fork.
Options for the movement of GBP/USD from May 11, 2020 are shown on the animated chart.
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US dollar vs Japanese yen
Range development and breakdown direction:
- resistance level of 106.80 - upper border of the channel 1/2 Median Line of the Minuette operational scale fork;
- support level of 106.20 on the lower border ISL38.2 zone equilibrium of the Minuette operational scale fork.
And will determine the development of the movement of the currency "Land of the Rising Sun" USD/JPY from May 11, 2020.
A breakout of the lower border ISL38.2 zone equilibrium of the Minuette operational scale fork - the support level of 106.20 - will determine the further development of the movement of the currency "Land of the Rising Sun" in the channel 1/2 Median Line Minute (106.80-105.50-104.20) with the prospect of achieving the warning line LWL61.8 (103.65) of the Minor operational scale fork, and the initial line SSL Minute (102.00).
If the upper border of the 1/2 medium Line channel is broken, the Minuette operational scale fork - the resistance level of 106.80 - will confirm that the USD/JPY movement will continue in the equilibrium zone (106.20 - 107.55 - 109.00) of the Minuette operational scale fork with the prospect of reaching 1/2 Median Line Minor (109.40) and the upper limit of the channel 1/2ML (110.50) of the Minor operational scale fork.
The marking of USD/JPY movement options since May 11, 2020 is shown on the animated
chart.
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The review is compiled without taking into account the news background, the opening of trading sessions of the main financial centers, and is not a guide to action (placing "sell" or "buy" orders).
Formula for calculating the dollar index:
USDX = 50.14348112 * USDEUR0.576 * USDJPY0.136 * USDGBP0.119 * USDCAD0.091 * USDSEK0.042 * USDCHF0. 036.
Where the power coefficients correspond to the weights of currencies in the basket:
Euro - 57.6 %;
Yen - 13.6 %;
Pound - 11.9 %;
Canadian dollar - 9.1 %;
Swedish Krona - 4.2 %;
Swiss franc - 3.6 %.
The first coefficient in the formula brings the index value to 100 on the starting date - March 1973 when the main currencies began to be freely quoted relative to each other.
