Wednesday, October 20, 2010

Long term dollar chart

As much as the fed has been trying to debase the dollar, this long term chart shows that it's fallen back to a little below where it was before the tech boom (the dollar index is the weighted avg. of the dollar against trading partners). If technical analysis has any value, the dollar should now bounce off that lower wedge line. On the other hand, a breakdown below that line will be mighty significant which might propel gold, silver and stocks to the sky!