Monday, March 28, 2011 11:20:42 AM
U.S. Dollar Index Reverts Back To Its Losing Ways
This morning the U.S. Dollar Index(DXY) is declining lower by 0.34 cents to $76.05. Last week, the U.S. Dollar Index staged a small bounce on the daily chart, however, today the U.S. Dollar Index failed to trade above its daily chart 20 moving average. Please note that the DXY remains below all of the major moving averages and this puts the U.S. Dollar Index in a down trend. The U.S. Dollar Index has declined lower by 15.0 percent since June 7, 2010.
When the U.S. Dollar Index declines it will usually help to inflate asset prices. Many people that are retired and live a fixed income really feel the effects of a declining dollar the most. Costs of all the goods that individuals need to survive will increase higher. Food and energy are two products that will increase the most when the U.S. Dollar Index declines. The recent food riots around the world have been blamed on the declining U.S. Dollar Index. Should the U.S. Dollar Index trade below its recent low of $75.24 the next important daily chart support would be around the $74.22 level which is the low made on November 24, 2009. The all time low for the U.S. Dollar Index was $70.69 made on March 17, 2008.
This morning the U.S. Dollar Index(DXY) is declining lower by 0.34 cents to $76.05. Last week, the U.S. Dollar Index staged a small bounce on the daily chart, however, today the U.S. Dollar Index failed to trade above its daily chart 20 moving average. Please note that the DXY remains below all of the major moving averages and this puts the U.S. Dollar Index in a down trend. The U.S. Dollar Index has declined lower by 15.0 percent since June 7, 2010.
When the U.S. Dollar Index declines it will usually help to inflate asset prices. Many people that are retired and live a fixed income really feel the effects of a declining dollar the most. Costs of all the goods that individuals need to survive will increase higher. Food and energy are two products that will increase the most when the U.S. Dollar Index declines. The recent food riots around the world have been blamed on the declining U.S. Dollar Index. Should the U.S. Dollar Index trade below its recent low of $75.24 the next important daily chart support would be around the $74.22 level which is the low made on November 24, 2009. The all time low for the U.S. Dollar Index was $70.69 made on March 17, 2008.
Join the InvestorsHub Community
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
