Well there's major resistance for
$USDcoming up at 80, at which it is likely to at
least stall out and do some consolidating before continuing up if
it is going to. A lot of commentators have been saying that
$USD has reversed into what will be a secular bull trend, saying
that once it breaks a long term trend it tends to trend the other
way for about eight years or so. It did move up for many
years, around seven I think, before beginning its long
downtrend at the beginning of this decade. It has also had
long periods where it trends sideways in a wide trading range too
though. A lot of traders and advisors thought that it put in
a major LT reversal in 1985 and would trade back over 100 within a
couple of years. It turned out just to be a countertrend
rally though, breaking the really steep downtrend line and then
putting in another less steep trendline. Fan lines, a series
of less steep trendlines (three being a common number for
them), are often put in and broken before a true
sustainable reversal is put in when a trading vehicle has been in a
really steep long term downtrend.
$USD
Posted by yankee19 on 3rd of Sep 2008 at 01:02 pm
It would be real nice if this dollar rally would just poop out.
Well there's major resistance for
Posted by martin on 3rd of Sep 2008 at 05:51 pm
Well there's major resistance for $USDcoming up at 80, at which it is likely to at least stall out and do some consolidating before continuing up if it is going to. A lot of commentators have been saying that $USD has reversed into what will be a secular bull trend, saying that once it breaks a long term trend it tends to trend the other way for about eight years or so. It did move up for many years, around seven I think, before beginning its long downtrend at the beginning of this decade. It has also had long periods where it trends sideways in a wide trading range too though. A lot of traders and advisors thought that it put in a major LT reversal in 1985 and would trade back over 100 within a couple of years. It turned out just to be a countertrend rally though, breaking the really steep downtrend line and then putting in another less steep trendline. Fan lines, a series of less steep trendlines (three being a common number for them), are often put in and broken before a true sustainable reversal is put in when a trading vehicle has been in a really steep long term downtrend.
Thanks Martin
Posted by yankee19 on 3rd of Sep 2008 at 09:35 pm
Do you have any long term charts of the dollar so I can get an understanding what you mean by fan lines ... etc