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The U.S. Dollar currently finds itself touching a series of support lines at (3) in the chart above. Often times the Dollar has rallied when world tensions have increases, the so-called “flight to quality!” Of late the Dollar has declined, during the challenging news of late in Egypt and Lybia.
Support is support until broken!!! If the Dollar does breaks key support at (3), it could decline a good deal! Could a Dollar breakdown cause Silver to push above key Fibonacci resistance? Very possible, be prepared for the ripple effects due to the next big move in the Dollar.