Welcome to this week’s Moneytize Forecast. With geopolitical tension around Iran still in focus and PCE data coming up on Thursday, this is a week where traders need to stay patient, prepared, and clear on their levels. Nikkhil has mapped out the key reaction zones on DXY and Gold so you know where momentum could continue, where pullbacks may appear, and what needs to confirm before any setup becomes actionable.
USD Index (DXY)
Starting with the US Dollar Index, Nikkhil is watching a higher-timeframe recovery structure beginning to take shape. On the weekly chart, DXY has printed a double bottom with bullish divergence, and the recent higher low formed directly inside the broader support zone between 78 and 85 on the reverse fib count. That gives the dollar a constructive base, even though the breakout structure is not perfectly clean yet.
On the daily chart, Nikkhil’s first upside destination for DXY sits around 100.59, with the next major extension area near 102.55, which also overlaps with the broader resistance zone between 125 and 138 on the monthly fib structure. In the short term, the closest pullback support sits around 98.61. If DXY pulls back into that area and holds, Nikkhil will be watching for continuation higher. If no pullback comes, the dollar could simply push directly toward the first extension target.
Gold (XAUUSD)
levels are broken. Last week, he called for Gold to move lower toward the 4,385 area, and price has continued to respect the broader downside structure. On the monthly chart, the 4,619 area is acting as a major resistance level, while the deeper downside magnet sits around 4,126. On the weekly chart, Nikkhil also identified a resistance pocket around 4,619 to 4,588, with broader support lower down.
On the daily chart, Gold is still producing lower highs and lower lows, which keeps the higher-timeframe momentum bearish. Nikkhil is watching the 4,126 to 4,080 area as a deeper magnet zone if the market continues to break down. Before that, the key near-term level is around 4,379, which aligns closely with the previous 4,385 downside target.
On the 4-hour chart, there is some bullish divergence, which tells Nikkhil that sellers may be temporarily exhausted. However, buyers failed to break above the 4,570 structure level, and that keeps the bearish scenario stronger for now. The nearest resistance sits around 4,543 to 4,553, while the key support zone is around 4,470 to 4,478. Nikkhil wants to see sellers break that 4,470 - 4,478 area, retest it as resistance, and then continue lower toward 4,379. A break and close above 4,554 followed by 4,570 would weaken the short-term bearish plan, while a break above 4,619 - 4,620 would be the bigger invalidation of the major bearish outlook. Gold is sitting between exhaustion signals and a higher-timeframe bearish structure.
DXY is sitting on a potential continuation structure, while Gold is testing whether sellers can confirm the next leg lower or whether buyers can force an invalidation above resistance. With PCE Thursday still ahead, preparation matters more than reaction.
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