Comprehensive analysis of movement options for #USDX vs Gold & Silver (H4) on May 13, 2020

By | May 12, 2020
InstaForex
Comprehensive analysis of movement options for #USDX vs Gold & Silver (H4) on May 13, 2020

Minuette operational scale (H4)

The second week of May – a review of development options for the movement of the dollar and metals index – #USDX vs Gold & Silver on May 13, 2020.

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US dollar index

From May 13, 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 100.29 at the lower border of ISL38.2 of the Minuette operational scale forks;
  • support level of 99.80 at the upper border of the channel 1/2 Median Line Minuette.

In case of breakdown of support level 99.80, the development of the movement of the dollar index will continue within the channel 1/2 Median Line (99.80-99.55-99.30) of the Minuette operational scale forks with the prospect of reaching support levels:

  • 99.20 – starting line SSL Minuette;
  • 98.57 – local minimum;
  • 98.45 – LTL Minuette control line.

Breakdown of ISL38.2 Minuette – resistance level 100.20 – resumption of the development of the movement #USDX in the equilibrium zone (100.20-100.60-100.95) of the Minuette operational scale forks with the prospect of reaching the final Shiff Line Minute (101.55).

The layout of the #USDX movement options from May 13, 2020 is shown on the animated chart.

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Spot Silver

The development of the Spot Silver movement from May 13, 2020 will also be determined by the development and direction of the breakdown of the range:

  • resistance level of 15.590 – local maximum;
  • support level of 15.370 – the initial SSL line of the Minuette operational scale forks.

Updating the local maximum – the resistance level of 15.590 – with the subsequent breakdown of the UTL control line (15.660) of the Minuette operational scale forks will make it possible to continue the development of the Spot Silver movement to the warning lines:

  • UWL61.8 Minuette – 15.805;
  • UWL100.0 Minuette – 16.150;
  • UWL161.8 Minuette – 16.620.

If there is a breakdown of the support level of 15.370 on the initial SSL Minuette line, then it will become relevant to reach the Spot Silver borders of the channel 1/2 Median Line Minuette (15.300-15.220-15.100), in the case of a breakdown of the lower limit (15.100) of this channel, the downward movement of this instrument can be continued to the final Shiff Line Minuette (14.790) and the boundaries of the equilibrium zone (14.620-14.400-14.180) balance zones of the Minuette operational scale forks.

Details of the Spot Silver movement options from May 13, 2020 are shown in the animated chart.

analytics5ebabaae80219.jpg

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Spot Gold

The development of the Spot Gold movement will continue from May 13, 2020, depending on the development and direction of the breakdown of the range:

  • resistance level of 1707.00 is the lower limit of the 1/2 medium Line channel of the Minuette operational scale forks;
  • support level 1697.00 – warning line LWL61.8 of the Minuette operational scale forks.

At the breakdown of the resistance level of 1710.00, the Spot Gold movement will develop in the 1/2 Median Line channel (1707.00-1717.00-1727.00) of the Minuette operational scale forks, if there will be a breakdown of the upper limit (1727.00) of this channel, then the upward movement can be continued to the goals:

  • local maximum (1737.93-1746.24);
  • FSL end line (1757.00) of the Minuette operational scale forks;

With the prospect of reaching the lower limit of ISL38.2 (1788.00) of the balance zone of the Minuette operational scale forks.

A breakdown of the support level of 1697.00 on the warning line LWL61.8 of the Minuette operational scale forks will make it relevant to continue the development of the downward movement of Spot Gold to the control line LTL Minuette (1679.00) and to the borders of the equilibrium zone (1659.00-1629.00-1599.00) of the Minuette operational scale forks.

Details of the Spot Gold movement from May 13, 2020 can be seen on the animated chart.

analytics5ebaba9193aca.jpg

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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.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

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