The U.S. Dollar Index closed lower for a second consecutive week giving gold (NYSE: GLD), oil (NYSE: USO) and many other commodities a boost. The overall pattern for the dollar is still bullish after breaking out and closing above the weekly 200 moving average. Also note the PowerShares DB US Dollar Index Bullish (Public, NYSE:UUP). As long as the dollar remains above the 79.50 level it is still in a technically strong position on the weekly chart. If the dollar does slide lower it is prudent to expect the stock market indexes to trade higher. There is weekly resistance at 83.00. 84.00, and 85.00. The weekly support levels for the dollar will be 80.00, 79.00, and 78.00.
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