Don't Forget About the Dollar

By: Guy Lerner | Sat, Oct 15, 2011
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Figure 1 is a weekly chart of the Dollar Index.

Figure 1. Dollar Index/ weekly
Dollar Index - Weekly

The strength of a month ago has given way to weakness over the past two weeks. But the price structure is still bullish, as price has only pulled back to test support levels at 76.65. This would represent a very good low risk entry for those looking to get long the Dollar.

As stated previously, the Dollar remains in a bullish up trend, and such Dollar strength has not been kind to equities over the past 10 years.

 


 

Guy Lerner

Author: Guy Lerner

Guy M. Lerner
http://thetechnicaltakedotcom.blogspot.com/

Disclaimer: Guy M. Lerner is the editor and founder of The Technical Take blog. His commentary on the financial markets is based upon information thought to be reliable and is not meant as investment advice. Under no circumstances does the information in his columns represent a recommendation to buy or sell stocks. Lerner may on occasion hold positions in the securities mentioned in his columns and on the Web site; in all instances, all positions are fully disclosed at http://thetechnicaltakedotcom.blogspot.com/. However, their positions may change at anytime. For more information on any of the above, please review The Technical Take's full Terms of Use and Privacy Policy (link below). While Lerner cannot provide investment advice or recommendations, he invites you to send your comments to: guy@thetechnicaltake.com.

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