The US$ has been rising all year, since a low point made on the last day of 2019. Now the rise has led to top extension in the $ index and a bottom extension in the Euro vs $ pair, both at a daily scale:
This $ rise has been accompanied by the usual apocalyptic comments about the worrying scale of $ borrowing in the wider world and the potential for this to cause the next financial sector meltdown, alongside an even steeper ascent of the $. Maybe so, but this is exactly the kind of mood that occurs at market extremes and yet this rally has merely taken the $index back to the highs of last October.
This argues for at least a dip starting hereabouts and maybe more. Sell the $ starting now and accelerating the pace on any signs of failure in the next few days.
All signals courtesy of software supplied by our friends at Parallax Financial Research s
