Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

US Dollar index has reversed

|Includes: iPath EUR/USD Exchange Rate ETN (ERO)
While cautious to call a trend reversal, I'm observing a few technical points upon which I'm building an assumption a change in direction is most likely.
 
The US Dollar Index closed on Friday at 75.79 which is above the 50-Day MA (75.71) and also broke the long term Resistance trendline from the March '09 Highs. This goes along with a spike in RSI reading of 55.12 - first time since April and also a Buy signal from the Directional Movement indicator with the ADX pushing off the bottom to signal a possible acceleration of this counter trend move.
 
I'd like to see a continuation confirming the trend reversal with a possible first 76.85 November High and then the October High around 77.50. An intermediate term target would be set at the 200-Day MA now at 80.13.

more charts and info:
http://constellation1976.blogspot.com/