[As can be seen in the chart below] the U.S. Dollar has been trapped inside of a multi-year pennant pattern, which continues to narrow…[strongly suggesting that] the end of the pattern is near [one way or the other]!
So writes Chris Kimble (blog.kimblechartingsolutions.com) in edited excerpts from his original post entitled King Dollar…The End is near!.
[The following article is presented by Lorimer Wilson, editor of www.FinancialArticleSummariesToday.com and www.munKNEE.com and the FREE Market Intelligence Report newsletter (sample here – register here) and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. This paragraph must be included in any article re-posting to avoid copyright infringement.]
Kimble goes on to say in further edited (and perhaps paraphrased in some places) excerpts:[As mentioned in a post back on August 22nd] the U. S. Dollar continues to find a 9-year falling resistance line tough to break above. The small decline in the US$ of late has taken it [almost]down to a 2-year rising support line and driven bullish sentiment down along with it.
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[Such a] pattern doesn’t usually tip its hat on the outcome/direction of the next big move, yet it usually pays to follow the breakout/breakdown. With the U.S. Dollar being trapped so long…the “ending of this pattern” could send important messages per portfolio construction for the upcoming months!
[Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.]
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