The dollar will be the key to what the market will do in the near term.
We have discussed that left translated dollar cycles generally roll over by day 8.
In the overnight the dollar set a new cycle high.
The dollar busted through the 80 level in the overnight.
However, it has reversed since then.
Since the dollar has not penetrated the declining intermediate cycle trend line, it has not confirmed a new intermediate cycle.
That will be the level to watch.
I will also be watching the recent daily cycle lows.
Gold set an intra-day low of 1739.30 on Wednesday.
A break below that would spell trouble.
Oh, and it seems that Bernanke will be speaking today.
We will see if he will flex his muscles and continue to push the dollar lower …
Source: http://dailybail.com/home/chris-whalen-on-qe3-the-core-problem-is-fraud.html
Cycle Trading 
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