Dollar Strength

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The dollar formed a swing low on Monday and delivered follow through today.

DXY00 daily

The swing low and declining trend line break mark the daily cycle low. With the dollar now in the timing band for an intermediate cycle low let’s take a look at what will need to happen to signal a new intermediate cycle.

DXY00 Commodity Futures Price Chart for U S D

The first thing needed would be for the dollar to form a monthly swing low. A break above 79.82 forms a monthly swing low.

Then …

DXY00 week 18

… a break above the declining weekly trend line confirms a new intermediate cycle.

I was not surprised to see weakness in the Miners with the dollar rallying.

GDX Sharp Charts Workbench Stock Charts com 20

Monday saw the Miners close above the 50 MA. Tuesday we see the Miners reverse, forming a swing high and losing the 50 MA. The Miners also delivered a bearish TSI crossover that is another signal of a impending cycle decline. As long as the Miners stay above the previous cycle low of 22.88 then the intermediate cycle will remain bullish. A break below 22.88 signals a failed cycle.

Still, the Miners do tend to fill gaps. And there is a gap up from 23.86 back on 10/17. So a decline to 23.68 could be in the cards.

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4 thoughts on “Dollar Strength

  1. Hate to complain, but I’m still not getting the charts or graphics in the email updates from you or on the website, using Chrome, Firefox or Safari. It also happens on my home computer which is a Mac and my work computer which is Windows 7. It’s gotten so bad that no matter what device/browser I use, all I get now is the text. Not sure if anyone else is experiencing the same, but it makes reading the updates next to impossible. There have always been issues on this blog with the graphics and use of 3rd party programs. I’ve been emailing about this for quite some time. I’m a paid subscriber, so I feel like I should be getting what I’ve paid for. Happy to send you screen prints if you want so you can see how frustrating this is, but it really needs to be resolved. I subscribe to other blogs and there are no problems with them at all. Just this one.

    • Richard,

      I am sorry. I was unaware that this was still an issue. Let’s try this. One other subscriber had a similar issue. We found that the imagebam images worked.

      Below are imagebam images. Let’s see if this works as a solution.

      imagebam.com imagebam.com imagebam.com imagebam.com imagebam.com

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