Friday, November 11, 2011

US Dollar update

US Dollar index punched right down through the 50 DMA (green line). Next target is 200 DMA (red line). Euro broke out of the 1.368 line. Next target is 1.3964 obviously. For newbies: US Dollar index is inversely correlated to the market, Euro is directly correlated to the market - that is the correlation for a decade now. It remains so, until it is changes.

I am bullish on the market on all terms. But, keep your portfolio in sight and have your stops adequately set. Don't drink to the tunes of the market. Good luck trading to you!

If you read last night's post, it should be clear to you what my set up was. Market seems to be in a hurry to achieve the target today. Link

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