Sunday, December 18, 2016

USD Price Action & Overlay Chart Pattern

The current market conditions; the core & basis of our analysis & primary indicator has always been the US Dollar. And its correlation with each corresponding foreign counter-part.

Bringing analysis a notch level higher using 'Correlation Strategy' as key component into the trading equation after each instrumental currency pair/s, stock index and other correlated instrument have been rightfully qualified.

Whenever the fundamental reports would drive the direction of the market prices that almost certainly will support the forecast and /or predicted price direction of the market. Although, it is definitely true for as long as the directional trend of the chart & technical outlook is well in line with these fundamental drivers that will almost / always justify the market and price call after the fact.

The USD has moved higher in the last 14 years and is making US Equity stocks more expensive as the Federal Reserve indicated a move to higher rates faster than most analyst have thought. Yet, this move is not too surprising for us except for the velocity of price swings moving higher at an accelerated pace. Pullbacks may also be expected and not to be discounted.

USD Price Action & Overlay Chart Pattern


Season's Greetings From MegaTrade101. Enjoy your Holiday's

3 comments:

  1. The Flag & Diamond Chart patterns has already been VALIDATED true to its form with the USD Index moving pass the 103.00 handle.

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  2. Incremental price corrections are merely technical adjustments for positioning and book-squaring as the end of the year's trading is just around the corner. The overall sentiments for a stronger USD shall be carried over for the opening of the new year

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  3. How the USD Gained its Mojo (Access via verified email address) Link: https://docs.google.com/presentation/d/1R68rv9ng6YhLt0na21hgbrepcCEDVukBg9ScO_v5O2E/edit?usp=sharing

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