Loading ...US DOLLAR INDEX
Thanks Nightingale for bringing your Dollar Charts. THE most important Chart on the Planet
Everything trades on the Dollar Index for some reason
Here is what I see. The chartology is interesting.
IF we just had a false breakdown to a direct Fibo hit ..then the bear phase is over
Still MUCH headway for the price though
50 dma first and bottom of a triangle then 200 dma
I see both Bullish and Bearish Scenarios
Clear as mud
“Everything trades on the Dollar Index for some reason”
Well, when the world is $350 Tr in debt, with most every nation in the same pickle, and for most borrowers its unpleasant to say the least during periods of weaker growth or recession to service your debt when sales are falling AND AT THE SAME TIME it takes MORE local currency earnings to acquire the dollars you need to make payments (b/c DXY is rising), then yes .. the dollar index matters.
Great chart! that Fib is hit is picture perfect. Agreed both bullish and bearish points in there. For me the difference is almost everyone is bearish, and in markets, what everyone thinks is going to happen, never happens.
I am thinking we are going to have one hell of a dollar surge in the next month or two. In a previous post i showed how a lot of commodities had yearly lows in September recently. I have a feeling August and September will be a rough 2 months for all markets, except the USD. A flee to cash.
And, may I add, a jump in yields?
I’ve had “phenomenal” returns, letting some cash grow 3.5-4.75 % in CDs and cash funds in the brokerage.
GL
It will be interesting. I see a lot of good miners near their long-term support which has typically been a good buy spot. If the dollar surges, I’m guessing these miners will surge with it. Only time will time.