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USDollar Fails Again – Price Nears Trendline

By , Sr. Technical Strategist
12 April 2012 23:55 GMT

Daily Bars

eliottWaves_us_dollar_index_body_usdollar.png, USDollar Fails Again – Price Nears Trendline

Prepared by Jamie Saettele, CMT

The Dow Jones FXCM Dollar Index (Ticker: USDOLLAR) realized its 4th largest decline of the 2012 on Thursday and is on the verge of taking out the April1 low of 9893. Doing so would negate my bullish bias from a seasonality perspective (early month range and breakout) and shift focus to the trendline that extends off of the February lows and 100% extension at 9843 (reinforced by former congestion). I’ve included a large view of RSI to highlight that the indicator is at a level that has been coincident with lows in recent months.

Bottom Line (next 5 days) – bottoming?

--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com

To contact Jamie e-mail jsaettele@dailyfx.com.  Follow me on Twitter @JamieSaettele

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Jamie is the author of Sentiment in the Forex Market.

provides forex news and technical analysis on the trends that influence the global currency markets.
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12 April 2012 23:55 GMT