Dollar Weakness

The dollar has been rallying out of the late December intermediate cycle low. With the dollar in its timing band for a yearly cycle low and three year cycle low, a new intermediate cycle has a good chance to also mark the yearly low and 3 year cycle low — until Tuesday.

On Tuesday the dollar formed a weekly swing high. A weekly swing high is required for an intermediate cycle decline. If the dollar goes on to close below the 10 week MA that will set the dollar up for a left translated weekly cycle — which has implications on the yearly cycle and the 3 year dollar cycle. All of which I plan to discuss in this week’s Weekend Report.

As as we discussed last night, a sinking dollar is like the rising tide that is lifting all boats

2 responses to “Dollar Weakness”

  1. jas ha Avatar
    jas ha

    My read is DX in timing band for 1st DCL. I feel it’s a little early (on a Tuesday) to be calling a weekly swing high on what is likely a new IC. Just my take.

    1. likesmoneystudies Avatar
      likesmoneystudies

      jas ha,

      Normally an intermediate cycle will not top during the first daily cycle.
      I just wan to be open to that possibility.
      If the dollar is still seeking out is 3 year low, then it is a possibility.

      LM

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