Is it finally time for the USD to dead-cat bounce?  The dollar has been accelerating downward in parabolic fashion over the past several weeks towards channel (thin blue line) and horizontal support at about 93.03 (thin green line).

Today, the USD touched a low of 93.00 before reversing higher.  Switching to the UUP proxy, so far today price action is printing a bullish “harami” in terms of Japanese candlestick analysis, which combined with the previous day’s black candlestick is a reversal pattern.  Another positive day tomorrow, where the closing price is higher than the open, will confirm the reversal and generate a candlestick “buy” signal.

From a fibonacci time perspective, the greenback is due for a reversal, having recently completed it’s latest 89-day cycle (purple vertical line).

As far as my trading – I closed my speculative Silver futures positions today right near the high – at $16.78…and will take a seat on the sidelines for now…although it appears that Silver has yet to reach channel trendline resistance (upper thin blue line on the first chart posted above), it did touch that resistance line on the chart of my future’s trading platform, so profits were booked.

While I expect it is very possible for Silver to test it’s recent lows if the dollar does indeed rally – I am done shorting Silver for now.  As mentioned – I expect any dollar rally to be of the dead-cat-bounce variety.