USD: Setting Up a Rip-Your-Face-Off Rally or in Freefall?

Jon Economy

There’s not much to encourage Bulls in the daily chart of the USD.
The U. S. dollar’s relentless decline this year poses a question: is the USD setting up for a monster rally, or is it in a slow-motion crash? Opinions vary, of course, as to the possible reasons for the massive decline: European growth is better than expected, Trump’s presidency is going nowhere, the Federal Reserve won’t be raising rates, and so on.
The nice thing about charts is they summarize all these inputs into a snapshot. So let’s take a look at the daily and weekly charts of the USD.

This post was published at Charles Hugh Smith on Thursday, August 03, 2017.