The Dollar Index rallied to test medium-term resistance at 81. Breakout above 81.50 would test the 2012 high at 84*. Recovery of 63-day Twiggs Momentum above zero suggests a primary up-trend.
* Target calculation: 81.5 + ( 81.5 – 79 ) = 84
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients.
Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter.
Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit.
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.