Not surprisingly, this has come at the expense of the commodity sector - which appears to be catching up to a shifting zeitgeist that sees the US dollar as a major threat to what was a positive carry for the asset class.
Friday, February 22, 2013
Leaving the Station
While the collective market opinion was under the persuasion of a conventional technical wisdom, those of us following the fingerprints of a broader market psychology have been rewarded as the US dollar index extends its reflexive trajectory out of another intermediate low.
A more nuanced guide for the dollar can found through the euro on the Mirrored Pivot chart from a few weeks back (see Here).
As with each market cycle, explosive returns are made and lost in transition - as the train leaves the station. Although a shallow retracement is likely next week, the US dollar appears to be well on its way to clearing the platforms and exiting the station.
