Turn may be coming tomorrow, multiple dojis and hammers

Turn in many markets can be finally upon us... it is about time. After two weeks of relentless USD selling, the charts started to show signs of possible reversals. Dojis and hammers were formed on many currency pairs and gold even posted lower close compared to open. Obviously depending on your broker your chart may look slightly differently (some consider the end of the day 5pm NY time, some midnight London time and some even midnight NY time.

Many traders use trading strategies in which they open long positions after 7-9 bearish daily candles (or short position after 7-9 bullish candles). Regardless of what the number of days is, US dollar index formed bearish candles over the past 10 days. Bounce is due and return to 77.50 - 78 area is very likely. It's just question of time.

Friday will bring a triple witching hour (simultaneous expiration of equity index futures; equity index options and equity options) so we can expect high volatility. This volatility will probably bring the recent rally to a stop.

Trading plan: bet that markets will turn around with stop above swing high.