Saturday, June 28, 2008

U.S. Dollar Index Analysis for 06.28.2008

Monthly chart shows the index well below all its moving averages, and also the down trendline in place. No buy signal/pattern evident on this timeframe. Look for continued weakness.
Weekly chart shows consolidation/trading range pattern in play. Index below all its key moving averages on this timeframe. No buy signal/pattern evident on this timeframe.

Daily chart better shows the corrective pattern being traced out. Currently there is 5 overlapping waves up into the 74.3 high. IF there is 5 waves up, THEN look for a retrace of the whole move. The U.S. Dollar is in consolidation, and I would expect that eventually it will make a lower low, with initial downside target to be in the 70 range. It is difficult at this point to determine whether the consolidation has been completed or not.

No comments: