Dollar Index - 14 November 2022

Analysis & Learning Nov 15, 2022
The US Dollar is heading into a meaningful cycle trough and should recover in style forcing macro regime change

Analysis:  the analysis strongly suggests that a cycle trough is at hand and we believe it is that of the 18 month cycle.  If correct, then the implication is that a strong and sustained advance is coming.  The trough is due potentially this week and once confirmed, we will be tracking an initial advance into the first 40 day cycle peak due towards the end of November.  If the coming price low is indeed that of an 18 month cycle, then once the cycle gets underway, a reset out of the 40 day cycle peak should be shallow.  

Key level to watch:  there is a cluster of projections that suggest that the 105 handle offers potential support.  We will be watching this level closely over the course of the week.

Christopher Grafton CMT

Chris has been involved in the markets for 20 years. He is the author of Mastering Hurst Cycle Analysis and is an experienced working technician. Chris holds the CMT qualification.