tooearly,
Your $ chart looks like what our woodchopper is thinking <g>. Actually, it is a pretty good interpretation, and if I can add on, the suggestion would be that the area around 88-89 is the end of iv. Certainly, it is a possibility, and the dollar is pulling back a bit this morning.
However, I'm still looking for the dollar to hit the 91.5 area. Maybe we see the action going like: A=89, B=86.5, C=91.5. Can that fit into your interpretation?
FWIW, on the larger view going back to the all-time high in 2001, my count would show your 1 as a i of 3.
Depending on how things pan-out, in an extreme case, we may look at the second touch of 84.7 as being a failed v of 5, and a retrace of 38% from the all-time highs beginning now with a move to around 99 in the cards. If the world economy goes in the tank, I think a lot of folks will be happy with dollars. Anyone thinking the dollar is a one-way bet will someday be disappointed.
By the way, we could still see gold rise on a move to USD=99, so long as it rises in all currencies. I think that may happen, too.
Regards,
crusty |
