Monday, October 26, 2009

Charting the US Dollar rally

Otto pretends to be interested in technical analysis due to a request from reader 'TB' who wants a thought or two about today's US dollar rally. This 30 minute candle of the December USD futures contract shows it nicely:

But by continuing my chartist pseudolurve, this daily candle says that what we have isn't a game-changer yet.
Personally, I'm more interested in the way miners reporting in Loonies or Pesos or whatevers will get a benefit from a strong dollar compared to their home currency. But hey...that kind of thinking is far too logical for this market.