Thursday, September 17, 2009

U.S. Dollar Technical Analysis (Part 5)

U.S. Dollar Chart: The U.S. dollar is bouncing around ~76 for a last couple days. If dollar stays above the 76.15 it could move higher. I believe dollar is at the intermediate bottom, yes you heard it right I said it. On the other hand failure to hold to ~76 means dollar will head lower. Next level to watch is 75.33 support. As you see in the chart dollar has been moving lower in last couple days, I believe this the only logical explanation for recent rally in equity markets. Please note that if I read the tape incorrectly and 76 fails to hold dollar will drop to 73-72 level.