What a rally it has been for the U.S. Dollar Index! As the Euro currency hits new lows the U.S. Dollar Index Soars to new highs for the year. Note the chart performance of the PowerShares DB US Dollar Index Bullish (NYSE:UUP). The rally in the dollar is now 24 weeks long and technically very strong on the weekly charts. However, the U.S. Dollar Index is now getting extended on the weekly chart and is currently at an important resistance level from $86.00 - $87.00. Pullbacks are possible from this level in the short term. Therefore, keep a close eye on the Euro currency as it will often trade inverse with the U.S. Dollar Index at this time.
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