Rising wedges often turn rallies into declines and tick off a few bulls along the way. The “Power of the Pattern” was reflecting that the Dollar should get “Rejected at resistance” at the top of its wedge at resistance line (1) in the chart below which was posted on 1/12. (see post here)
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The chart below was posted on 1/23, reflecting a very bearish weekly pattern had taken place at the top of the wedge! (see post here)
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Below is an update on the rising wedge breakdown in the Dollar and falling wedge breakout in the Euro, as well as where the Dollar could find channel support.
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For those of you shorting the Dollar, its been a good few weeks. Risk assets have done really well of late, much having to do with the Dollar’s decline. Be aware that the Dollar is approaching rising channel support around the 77 price level.
Apurv…
Golds long term support held, which was a BIG positive for it. For it to reach those levels that key support has to break, which remains in place.
And Gold broke above its “Dualing Resistance” lines, which was another positive (see Dualing resistance post)
I prefer to own Silver or short it. At this time members are long Silver due to its breakout (Hi Yo Silver Post here)
Chris
Dear chris ,
I remember you posted a call on gold below 1600 dollars could go to 1200 dollars . What are the possiblities on that ?