Dollar index analysis using the diagonal triangle wave to predict the EUR/USD exchange rate

Abstract

The research aims at defining the diagonal trigonometric wave, which is one of the impulsive Elliott waves, as well as introducing the US dollar index in the forex market, and how to use this wave as a method for wave trading and highlighting some of the methods used by traders to predict the direction of exchange rates The problem of the research was embodied in the dialectical statement of the relationship between the zigzag bilateral wave and its ability to predict the direction of the exchange rates (USD / ERU) based on the analysis of the dollar index through a set of questions, most notably knowing the extent of the impact of the Qatari triangular wave on the movement of the dollar index in particular and the impact of those waves The movement of currency rates in the forex market in general.

The research reached a set of conclusions, the most important of which is that the diagonal triangular Elliott waves (front and back) can predict foreign exchange rates by analyzing the dollar index for the major currency pair selected for the research sample (ERU / USD) for the period 2010-2021, and the research concluded with a number of recommendations, most notably the need to increase Awareness for traders in the foreign exchange market and familiarity with all market rules and knowledge of the factors affecting the foreign exchange market to avoid risk and achieve profits, as well as increasing interest in technical analysts in the Iraqi market and work to develop their abilities and skills in trading in the forex marke