Death Cross of US Dollar
- Death cross happened in September 2010 But Dollar has not recovered from its effects yet.
- After the death cross dollar went to 75 levels. From there it retraced, But the retrace trade did not test the 200 day moving average. Dollar got resisted below the 200 day moving average and has now broken below its 50 day moving average and slipping down further.
- There is a double top pattern in daily chart too if price sustains below 78 we may see 75 levels again.
- Only way for the dollar to get out of this death cross effect is to close above 200 DMA which looks too far away at this point of time.
- A BEARISH APPLE
Dear San,
ReplyDeleteAs Dollar slipping & likely to touch 75 mark,Dow Ind.Avg.trading in very tight band between 11750-12000 band but after every 2-3 day's trading, threaten for bigger fall i.e. minimum 500 points from here,so how do you see U.S. market from here?Our Nifty is also trying very much hard to sustain above 200 DMA but well below 50 DMA,which is also a prominent DMA from trading point of view.
If possible please throw some light from short time trading angle from here.
Hi mynac
ReplyDeleteFor U.S markets i use to see the major stocks before trying to predict direction. So the first two stocks i see is APPLE and GOOGLE Both are showing bearish price action in weekly chart. So if this continues this will affect the major indices shortly.
As far as nifty goes we will get a clear direction after the RBI decision and the F&O expiry next week. I am expecting an up move from here which will be followed by the next wave of selling. and if global markets starts to go down bears will continue to party.
Dear San,
ReplyDeleteThanks a lot.
As you said "For U.S markets i use to see the major stocks before trying to predict direction"
which I like the most so only I request you for your valuable opinion.
with regards,