How low can the dollar go? New Video
I was quite amazed when I looked back to see how long it’s been since I’ve put together a Dollar Index (NYBOT_DX) video. I had to look back to September of 2008 to find the last series of videos I had done specifically for the Dollar Index, and it proved to be successful.
In today’s video we will look at the Dollar Index and the impact it is having on crude oil (NYMEX_CL) and other major markets. I’ll also make a rather surprising prediction as to the most likely trend the dollar is going to take in the next 12 months.
This is a video you will not want to miss as the ramifications of inflation and the dollar are rather shocking.
I will show you how MarketClub has used the same approach in the same market using our “Trade Triangle” technology to trade this index and just how successfully this approach has been.
I strongly recommend that you watch my earlier Dollar Index video and then watch the new one. This will give you more confidence in using our “Trade Triangle” approach.
As always, the videos are free to watch and there is no need to register. I would love to get your feedback about this video and your own predictions about these markets on our blog.
All the best,
Adam Hewison
President, INO.com
Co-creator, MarketClub
You are wrong
The only thing he is wrong about is that its going to go lower then 72.
He is correct that the dollar is going to take a long run down. If you invest in overseas markets this will be a great plus. Savings rates in the US are going to continue to rise and spending will be in the overseas markets.Take advantage of the new socialist regime that now controls Washington.
You are right, the way US is printing dollars this is expected, I like the way you calculated down side. However if euro and British pound are also in same boat, I am not sure which currency will dominate in coming years?
there is a difference between devaluation and inflation although they ususally go hand in hand
this is not a usual market atmosphere with banks not lending (perhaps a high yield curve may entice lending) so the key to monetary inflation will be re-starting lending…not a falling dollar
with that said i see a short term (3 month) very bearish view for the buck
I understand your DX symbol on the chart, but how do you specifically trade this? I see how you can apply this to an FX ETF, Gold, or anything driven by the dollar.
Tim,
Thanks for you feedback. You can trade Dollar index futures here: ICE [NYBOT] US Dollar Index.
Thanks,
Adam
Adam, a few questions.
How to get the DX symbol? The search always finds a list of contracts.
When projecting down in this case, the Fib tool was not used. How should we make use of the Fibinacci tool if we should simply follow the trade triangles? Trendlines and the Fib tool just tempt me to jump into trades sooner than the trade triangles. Maybe I should go to the desert island and trade.(aka your past video)
Finally, I’m still not sure that if I use the weekly for timing … then if the monthly signal shows, do I buy then, or wait for a weekly triangle AFTER the monthly. The weekly almost always preceeds the monthly triangle. So I figure, the Monthly is a signal I should act on, just like the weekly triangles, it just reverse the long/short.
Don-Da-Mon,
Thank you for your feedback. I hope I can answer your questions and that I can make myself understood. On the dollar index we use the monthly triangles for major trend direction, we then use the weekly triangles for timing entry and exit points.
In other markets we filter our trades in other ways. If you have any questions about this please write support@INO.com or call us at 800-538-7424. My support staff will be more than happy to help you in any way we can.
All the best,
Adam