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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Fergusson who wrote (75219)	4/12/2007 11:31:50 PM
From: Follies	Respond to of 94695

dollar index quotes.ino.com (wow, that was wisdom?)

To: Fergusson who wrote (75219)	4/12/2007 11:31:55 PM
From: Bid Buster	Respond to of 94695

They're talking about the DX...aka dollar index quotes.ino.com

To: Fergusson who wrote (75219)	4/13/2007 7:32:43 AM
From: William H Huebl	Respond to of 94695

I see at least 2 others were quicker and wiser than I... in answering your post. What we call USD a trade-weighted average of six foreign currencies against the dollar. Currently, the index includes euros (EUR), Japanese yen (JPY), British pounds (GBP), Canadian dollars (CAD), Swedish kronas (SEK) and Swiss francs (CHF). I think of the Index as what they call "cash" or "spot" prices which it really isn't... because it is a calculated index not directly based on purchases and sales of it... but for all practical purposes, we can think of it that way, IMHO. Then you have futures (and options against those futures) contracts against what the traders believe the USD Index will do or not do. Of course, each contract month has it's own chart and can drift from the "real" USD as it at times lags, leads or is concurrent with the "real" USD. The discussions you refer to here are based on our own beliefs about those things impacting the valuation of the USD and, at times, perhaps weak attempts to figure out where it is headed, in general. This may be important as our currency is one barometer, IMHO, of the strength of our economy compared to others. Historic breakdowns of the dollar, especially, have had nasty consequences on our markets and their potential for "big Kahunas." Current dollar levels are at one of those historic junctures... IMHO!