User: TWT: LONG TERM EWP: USD INDEX: Follow Up of the Short Term EWP | The wave trading

On June 27 and on August 22, I discussed a potential large Ending Diagonal “project” for the USD Index.

Today, given the fact that the corrective down leg off the July 24 high, which in my opinion is tracing a Double Zig Zag, it is most likely not over yet, more down side should be expected.

The lack of a terminal pattern is jeopardizing the idea that the down leg off the July 24 high is the wave (IV) of the Ending Diagonal project.

Therefore I am now analyzing other options.

Regarding the short term EWP, below I have a potential count of the Double Zig Zag that could have an extension target at 80.60

Recall that we have the 200 d MA = 80.81

If this Double Zig Zag plays out then I will consider as a viable option a Triple Zig off the May 4 low, in which case now price would be involved in the wave (X) which once it is in place will open the door to the third and last Zig Zag up.