Re: U.S. Dollar looks weak
Hey buddy,
Yeah, I hope there is some follow through to the downside on the dollar, I heard something interesting from a couple sources, that historically the dollar declines after rates start rising...like the anticipation causes the actual effect, then when it actually starts the dollar drops...(buy the rumor, sell the news type thing)
Not sure but it kinda makes sense, I remember this actually did happen with all the quantitative easing...metals had a big drop RIGHT AT the last announcement...after climbing considerably beforehand...
Anyways I think we are due for some kinda rally anyhow...
I really like the technicals and the pattern on the Monthly Silver chart...looks like it might want to break out of that downward wedge...if it does...LOOK OUT ABOVE...
I think a break above $16 or so spells a big rally to at least $21 if not much higher....
The daily and the monthly charts are setup nicely, and if we can improve just a little on the weekly chart in the next coupla' weeks everything is set for a mega rally....
It always happens when the fundamentals look their worst, but then the charts show a technical bottom which I think the Monthly may be showing the way....we'll see. Gonna be interesting the next few weeks.
Good trading to ya buddy and happy holidays.