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King Dollar For How Much Longer?


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For the entire month of July and half of June DXU18 has been range bound with the top at 95.000 and bottom 94.000-93500. Back in the Spring we saw the USD leave its range. April 20-21 you can see on the daily chart a Common Sense trade trigger (a green buy signal) as price action broke over the Parabolic and everyhting else agreed. Buyers were taking control and strength of trend was developing. Also price action rose above the tightly consolidated EMAs. The ride up went from April 20 to May 29 high of 94.500 before a correction was seen into June stopping at 93.000. FED meeting on June 13 and a rate hike as expected and the drive up began again.

This time bulls had an issue with 95.000 (range top) and a strong trending market then laid down into its current range. You can see the spike on July 19 on the day of the Trump tweet that stopped the bull in it tracks. Today this a a market condition 1 (weak trending-weakening) and close to oversold territory. Real close. 94.000 has held the past 7 trading days. Parabolic shows a short ride could be ahead. For a better understanding of Common Sense Trading email me at Gary@TrendsinFutures.com and I will send you a free book.

On the weekly chart look at all of those wicks playing around at 95.000. And looks range bound here also. Last time price played at 95.000 late October, early November 2017. In the COT a slight bull move seen last week as the consolidation loosend. Tighter consolidation was seen January-April as price action between 89.000-90.000. Since Trump took office you can see exactly the direction the USD has taken. Question now were does the USD go heading into the last half of 2018 with the possibilty of 2 more rate hikes? On the weekly chart you will want ot watch big money real close. If tighter consolidation I am looking for a break and close below 93.245. This would put 91.000 in play and if below 91.000, 89.000. And yes that would be with 2 more hikes. On the daily chart a break over the range top with closes above the King Dollar rises and we will see what Trump has to say about that. Wednesday FOMC Statement should be interesting.



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With over twenty-five years of trading experience, Gary managed Futures Learning Center (a division of Futures Magazine) from 1997 until 2006. For thirteen of those years he has helped thousands of retail traders learn to trade to win and stop trading not to lose. For the past 7 years he has written Futures Magazine's popular weekly e-newsletter Market Pulse, as well as articles for the magazine. He has also been quoted in the Wall Street Journal.  When Gary's group was sold to Commodity Research Bureau, he quickly realized the excellent stable of trading tools that CRB offered to traders.  One tool Gary focused on was the Electronic Futures Trend Analyzer (later called TrendTrader) because it provided specific trade recommendations.  Gary soon realized that when these trade recommendations were in agreement with his toolbox of trading indicators, including his analysis of the new Disaggregated Commitments of Traders report (COT), that these became high probability trades.  That is when www.TrendsinFutures.com was created. With Trends in Futures you get specific trade recommendations with instant access to daily and weekly charts Gary created to get proper chart confirmations. Gary also wanted to make this educational so traders learn to trade to win and stop trading not to lose. So you also will have access to Gary’s video commentary on the trades Trends in Futures recommends, and video commentary on current open trades plus educational videos. Gary feels that bringing together the best of CRB with his trading experience that they have created the best trading tool for consistently catching all of the major market moves year after year. See for yourself how www.TrendsinFutures can make you more profitable by taking a 30-day free trial. “I am dedicated to your trading success. Are you?”  Stop making your broker rich and take the 30-day free trial now!

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