Friday, April 09, 2010

Bearish Technicals For The U.S. Dollar

Above is a daily chart of the U.S. Dollar and as you can see the greenback is coming very close to testing its uptrend line. You'll notice in the lower panel that the MACD is now showing bearish divergence which could spell trouble for our currency.

As of now the bull trend in the dollar is still intact and there are no sell signals. What I am watching is to see how the dollar handles it's uptrend line. Two consecutive closes below the trendline would be bearish in my opinion especially given the fact that the MACD is showing a very clear and obvious bearish divergence.


Forest Grump said...

Previously you are bullish on USDCHF, are you still holding on to this view, since you are bearish on USD now.

Anonymous said...


Looks like the dollar index blew right through the uptrend line and stayed there. Not sure if that is a sell signal but it doesn't look good for the dollar.

Kevin said...

No, I am no longer bullish on USDCHF. This currency already met it's objective.


This site may include market analysis. All ideas, opinions, and/or forecasts, expressed or implied herein, are for informational purposes only and should not be construed as a recommendation to invest, trade, and/or speculate in the markets. Trading and investing involves high levels of risk. Any investments, trades, and/or speculations made in light of the ideas, opinions, and/or forecasts, expressed or implied herein, are committed at your own risk, financial or otherwise.
Technorati Profile Finance Blogs - Blog Top Sites