USDOLLAR tests lower boundary of weekly consolidation pattern.
Weekly Chart Analysis
.png)
The dollar's consolidation continues. FXCM's USDOLLAR basket has drifted sideways in a symmetrical triangle pattern (converging green lines). However, the last few weeks' price action is interesting.
1. Candle 2 is a bearish reference candle. I.e., it has the highest high in at least a three-candle cluster.
2. Candle 3 closed below the low of the reference candle.
3. This has completed a potential swing high, which implies that pressure is to the downside.
4. In response, the USDOLLAR is testing the lower boundary of the symmetrical triangle.
5. The weekly RSI has dipped below 50 (blue square). The longer it maintains on the bearish side of 50 the greater the likelihood of a breakdown from the symmetrical triangle pattern.
Russell Shor
Senior Market Strategist
Russell Shor is a Senior Market Strategist at FXCM, having been promoted to the role in 2025 in recognition of his depth of insight and consistent delivery of high-impact market analysis. He originally joined FXCM in October 2017 as a Senior Market Specialist.
Russell holds an Honours Degree in Economics from the University of South Africa, is a certified FMVA®, and a full member of the Society of Technical Analysts (UK). With over 20 years of experience in financial markets, his work is renowned for its clarity, precision, and strategic value across asset classes.
Any opinions, news, research, analyses, prices, other information, or links to third-party sites contained on this website are provided on an "as-is" basis, as general market commentary and do not constitute investment advice. The market commentary has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is therefore not subject to any prohibition on dealing ahead of dissemination. Although this commentary is not produced by an independent source, FXCM takes all sufficient steps to eliminate or prevent any conflicts of interests arising out of the production and dissemination of this communication. The employees of FXCM commit to acting in the clients' best interests and represent their views without misleading, deceiving, or otherwise impairing the clients' ability to make informed investment decisions. For more information about the FXCM's internal organizational and administrative arrangements for the prevention of conflicts, please refer to the Firms' Managing Conflicts Policy. Please ensure that you read and understand our Full Disclaimer and Liability provision concerning the foregoing Information, which can be accessed here.