DXY V CORN

DXY V CORN
DXY price at 97.21 is not only at upper range highs but warrants a deep correction.
Problem DXY is well supported at 95.92, 95.54, 95.39 then 94.34, 94.13.
Only a break at 94.13 would see a deeper move to 91.97 and 90.39.
Best DXY correction is located at 96.89 and 96.79 and lower is required to challenge 95.92, 95.54 and 95.39.
DXY ranges is located from 95.92 to 98.00’s but don’t push your luck at 98.00’s.
The best shorts on a sell only strategy is 98.62, 98.78 and 98.81 to target 96.89 and 96.79.
Short only strategy because DXY’s current price is to high and its impossible to trade long.
This short only condition in currency pairs and DXY in particular may last for many months and DXY is no different from the 28 majors.
Overall, DXY isn’t worth the trouble to consider a worthy trade.
DXY Vs Corn Correlations from monthly AVGS 1 to 5Y = 0.29, 0.02, 0.05, 0.02 and 23%.
From 5 to 10Y AVGS barely achieves 50% correlations.
DXY’s price is to high, Corn 356.62 price is to low.
Corn faces many hurdles to trade higher from 361.32, 369.36 and to 392.79.
Above 392.79 required to challenge 439.18, 467.41.
Good long located at 338.66, 341.88, 344.09, targets 350.07, 354.02.
Corn widest ranges: 320.00’s to 600.00’s and buy drops as 320.00’s is 36 points from bottoms.
   Brian Twomey

 

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