The Dollar Index is testing primary support at 78.50. Breach would signal a down-swing with a target around 75*. Twiggs Momentum oscillating below zero suggests further weakness. Recovery above 81, however, would indicate that the down-trend is over.
* Target calculation: 78.5 – ( 81.5 – 78.5 ) = 75.5
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He co-founded Incredible Charts and writes the popular Trading Diary and Patient Investor newsletters.
Using a top-down approach, Colin identifies key macro trends in the global economy before evaluating selected opportunities using a combination of fundamental and technical analysis.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.
He founded PVT Capital (AFSL No. 546090) in May 2023, which offers investment strategy and advice to wholesale clients.