$USD US Dollar Index Daily Chart Falling Wedge Positive Divergence

$USD US dollar index daily chart showing similar fractal behavior as November 2010, right when the dollar bounced and equities markets sold off. Overbot conditions, falling wedge and positive divergence over the last couple months only means one thing, up. The positive divergence also holds in the November time frame to present, and, the weekly chart is in positive divergence as well, verifying that a bounce should occur now.

The November sell off in the dollar occurred as a strong downward trend but this recent move down in the dollar is not even a strong trend so the death of the dollar does appear premature. Euro is negatively diverged now and facing weakness as Portugal receives a bailout, thus, weak euro=strong dollar and visa versa. Dollar should bounce any day, the move up was quite spectacular in November. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your finanical advisor before making any investment decision.