DXY 1H: Support Liquidity Sweep & Reclaim (Long Setup)

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DXY 1H: Support Liquidity Sweep & Reclaim (Long Setup)US Dollar IndexCAPITALCOM:DXYgongroupvn 1. Market Context On the 1H chart, the US Dollar Index (DXY) is compressing near the key horizontal support floor at 99.157 after declining from the 99.717 resistance peak. We wait for a liquidity sweep below support before executing a long setup. 2. Trader Behavior & House Trap Analysis Where Traders Place Orders: Seeing 99.157 hold as a multi-touch floor, retail traders are placing BUY orders around 99.157 – 99.222 (marked "Buyer"), expecting another bounce. Trader Stop-Loss & Target: Retail buyers have stacked Stop-Loss orders inside the purple box just beneath support (99.000 – 99.100). Meanwhile, panic shorters are waiting to sell any breakdown expecting a fall to 98.909. How the House Plays It: The House previously staged a fake pump to 99.717 ("Liquidity Sweep" / "Seller Out") to flush shorters. Now, the House will dip price below 99.157 into the purple box ("Liquidity Sweep") to wipe out buyer stop-losses and trap late shorters at the bottom. Once swept, an aggressive V-shaped reclaim back above 99.157 will squeeze trapped shorters, fueling a rally toward 99.500 and 99.717. 3. Trade Setup Entry: 99.157 (Confirmed 1H close back above support post-sweep) Stop Loss (SL): 98.909 (Placed safely below the bottom support floor) Take Profit 1 (TP1): 99.500 Take Profit 2 (TP2): 99.717 Risk-to-Reward Ratio (R:R): Approx 2.5:1 (Calculated toward TP2)