Several features have appeared on the greenback’s chart, and none of them are .
First, consider the rising trendline running from the low of January 6 through April 29. Notice how DXY broke under it on May 7 and then failed to return above it the following week. That’s looking like a bear-flag breakdown.
Next you have the series of lower highs (white arrows) on September 25, November 4 and March 31. The final peak also coincided with a test and failure of the 200-day ( ).
Speaking of moving averages, the 50day attempted to pass back above the 200-day earlier in May. Now it’s fading -- the exact mirror opposite of the price action in silver.
Finally, notice the relationship between DXY’s 21-day ( ) and 50-day . Crosses between these two lines ( gold arrows) signaled periods of stability in late September and early February. They were also red meat for the bears last May and in early November. Another cross downward occurred three weeks ago, creating potential for more downside.
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