** Dollar index enters bull market - Life cross prints **

On the above 2 day chart price action has entered a bull market. We define this as:

1) The 2-day 50-day SMA (blue line) crossing up the 2-day 200-day SMA

AND

2) Price action above the 2-day 200-day SMA.

Both of those conditions have now confirmed. The Dollar index is in a bull market.

The previous life cross (idea below) printed in November 2021. The dollar index rallied 20% after the cross, I’m sure you noticed.

Is this another 20% bull market like 2021?

Unfortunately, it is looking that way. However much higher. Not only that but there is evidence to support a faster rate of change in the uptrend.

At the moment the dollar index remains in a trading range that began in November 2022. Markets are likely to remain unaffected until the index exits that range. A bull flag has printed since the trend reversal and life cross.

The bull flag extension would take price action outside the trading range. When this happens AND past resistance confirms as support… be in cash. No stocks no crypto no metals no animal spirits.

This bull market has a 1st target area with the index rallying to 130. Yes you read that correctly. A detailed explanation of why and when this is likely to happen is written elsewhere.

Ww


November 2021 Life cross