USD US Dollar Index Weekly Chart

We will find out if this multi-month sideways basing move finally plays out. Falling wedges lead the way for upside. Note how price just printed above the 20 MA, these are the types of bullish developements you monitor as a technician. Watch to see if the RSI moves above the 50% level which is a bullish signal.

Projection is upside for the dollar moving forward. As the dollar moves up, this will place pressure on oil and commodities and provide testimony to a weakening global recovery. Dollar strength will also lead to Chairman Bernanke announcing QE3. Targets ahead are 75 and 76, and higher. Study that 20 week MA and RSI 50% level closely this week. 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 financial advisor before making any investment decision.