The dollar is hung up at the VWAP (volume-weighted average price) of a very long-term megaphone that began forming in the late 1980s (red on chart). It’s also paused just above the breakout point from a falling wedge top connecting the 1985 and 2002 dollar highs.
DX got to its recent high within the red rising megaphone on the second chart. That high pierced the formation top before reentering and would usually make a new high within the formation before breaking out of it.
Then DX must return to at least the base of the rising megaphone at roughly 93.
It could get there by returning to the blue megaphone VWAP at roughly 95 and starting a new megaphone there (green scenario). The green scenario could produce a series of new megaphones inside megaphones across 95 to form a big continuation triangle before the dollar continues up to the top of its long-term red megaphone.
But it’s more likely that the dollar will continue through 95 to the bottom of its blue megaphone to form the larger orange megaphone.