Dollar At Critical Support - Jeff Pierce

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I’m a swing trader of momentum stocks with a holding period of anywhere from a few hours to a few months. I run a number of screens to locate the strongest/weakest stocks out there, using technical analysis to determine my entries and exits. Trying to calculate the intrinsic value of stocks in... More

My company:: Astrology Traders
My blog:: zentrader.ca

Dollar At Critical Support 0 comments

Mar 15, 2011 11:35 PM
There are two time-frames (wkly/monthly) below of the Dollarwww.zentrader.ca/blog/ that basically show the same thing. The dollar is currently at long term support with multiple indicators suggesting that we’re going to bounce here in the face of erroneous monetary fiscal policy on behalf of the US Government. I realize that it’s against all common sense at this point, but I listen to the charts, not what I think the market should do.
- Positive divergence on RSI. It never has breached the bearish 30 level.
- -D1 is moving sideways and not rising suggesting that the trend is weak
- ATR is declining as the market moves lower suggesting that volatility is falling. (indicated by yellow boxes)
This chart still has a bearish hue and until it moves above the 70 level on the RSI will I fully believe that the Dollar is going to rally with any authority. However it has to start to move higher on the weekly before this chart turns up, and there can definitely be some money to be made in the meantime.
Themes: US Dollar, Currencies

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