Thursday, October 2, 2008

index vs world The US Dollar top. Possible shorting in the near future.




Here is the USD Index vs. USD-CHF and the inverse reverse of USD-CHF is the EUR-USD.
As you can see, they all look almost identical. The USD is almost at a top. The USD/CHF looks to be
at a dbl top right now, but, the fact the EUR-USD failed to create a dbl bottom and the fact that the USD Index hasn't reached it's top is making me feel a little worried about going against the trend right now. Keep an eye on the index and when it makes its double top, it is time to short the dollar for a looong while (that is, if it tops out there.) Anything is possible, but I would risk a good 20-30 points for 200-300 points. Good Risk/Reward there.

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