The Dollar is greatly oversold and the sentiment is overly bearish. That sets us up for a short-squeeze that could last for 2 to 3 weeks. The initial rally was quickly sold off but today the bulls are back on it and were able to just as quickly absorb the selling.
The COT Index is extremly long while small speculators are extremely short.
That said, there is resistance at the 91 handle and we need a daily close above it and another rally from here.
This is a very asymmetric time to go long. You can put your stop below 89.5 and have a lot of room for upside.
The COT Index is extremly long while small speculators are extremely short.
That said, there is resistance at the 91 handle and we need a daily close above it and another rally from here.
This is a very asymmetric time to go long. You can put your stop below 89.5 and have a lot of room for upside.
