Tuesday, February 16, 2010

Pivots stop the Dollars rally

I wrote a few weeks ago, that I thought the dollars rally would be coming to and end soon, at the Monthly and Yearly pivots around $80.65. I miss it by .10 cents. The March Dollar futures index went up to the Monthly R1 pivot and the Yearly R1 pivot(see blue arrows at top of chart), did a double top and now is starting to roll over. It could fall fast to the 20 or 50 dma. The Monthly pivot point is in between those ma's at $78.68. Stochastics are also rolling over from the over bought area and is doing a HNS pattern. The trend is still in tact to the upside, probably just needs to shake the weak longs out.