DXY: Logical bottoming area according to KHL and T@M

Jun 8, 2017

The Time at mode analysis of the dollar shows an exhausted downtrend in the weekly, hitting a long term uptrend support, paired with extreme pessimism according to RgMov, which is a trend and sentiment analysis proprietary indicator that we use to assist us in our trading decision making. I think the dollar can bottom here, and this could prove to be bullish for US equities. Interestingly, I see gold, oil and other commodities like corn as potentially interesting on the long side too. I mostly use gold to hedge my risk on trades, so I don't mind buying it when the chart gives an opportunity, even if I lose, since it means that my risk on trades will cover that loss more than handsomely.

This chart was born out of a discussion with zhipengcfel in the KHL chatroom.
Feel free to stop by or contact me if interested in the methodology that we use, which was created by my mentor, @timwest.

Cheers,

Ivan Labrie.

Jun 20, 2017

Note

Looks like a bottom is finally in.