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.
3 comments:
Previously you are bullish on USDCHF, are you still holding on to this view, since you are bearish on USD now.
Kevin,
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.
No, I am no longer bullish on USDCHF. This currency already met it's objective.
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