The dollar continues to surprise as I think most traders assume it’s going to collapse with all the money-printing the Fed is doing these days, as they infuse the markets with new money each month. However it’s important to not let what you think is going to happen dictate your trading.

According to the 3 line chart we have a new buy signal. When the white bar takes out the previous 3 red bars that is associated with a new buy trigger. I would say the trend would be strengthened and confirmed when it takes out the November high.

When you look at the longer term weekly chart it’s easy to see the large wedge formation and the bounce off the lower trend line. With the RSI crossing the 50 line, it’s likely the up-trend will continue with the next line of resistance around $83, then the upper trend line should be the end of this rally.

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