Black Candlesticks in the Euro and Pound say the Dollar is Alive and Well

<h1>Black Candlesticks in the Euro and Pound say the Dollar is Alive and Well</h1>Author: <a title="William Kurtz" href="http://www.articlesbase.com/authors/william-kurtz/52098.htm">William Kurtz</a>   Don’t believe the predictions about the “Death of the Dollar.”  It is doing just fine against the Canadian Dollar and the Yen, thank you; and tall black Candlestick patterns in the Euro and in the Pound are the first evidence of long declines which, in turn, will elevate the Dollar Index to levels which we have not seen in more than a year. It has been fashionable to decry the decline in the value of the Dollar over the past several months; and the lower it has traded, the louder has become the negativism as the opinion of naysayers has recirculated and reinforced itself while the size of the Dollar-bear baying herd has grown.  It is axiomatic, of course, that when “expert” opinion accelerates in one direction to the point at which nearly all participants are of a single mind, their opinion is probably wrong. That is precisely what has occurred in the case of the US Dollar.  In Elliott Wave terminology, the Dollar Index had declined ever closer to completion of a major fifth (and last) Wave Down, so in our view it was just a question of time before the bottom was marked and the Index turned about and began to rise. The Dollar was already low as against the Canadian Dollar and the Yen, so we kept an eye on those two as probably the first to “break.”  The Pound was due for a rebound before it were to fall in a substantial manner, so we determined simply to wait it out until the Pound were to find its own top, and then reverse.  The Euro was high, but our Indicators told us that a turn was coming soon. Here is what has happened:  The US Dollar has, in fact, advanced very nicely as against the Canadian and as against the Yen, and those advances continue apace.  The Pound did make its top, as forecast, showing a bearish tall black Candlestick, and has turned strongly down; and the Euro has now topped and reversed to the downside, also as forecast, also in a strong bearish black Candlestick. The upshot, of course, is that the Dollar Index is making a strong recovery, while displaying bullish tall white Candlesticks.  We expect to see the Dollar Index at 85 or better. We knew it was coming.  We knew it all the time. William Kurtz October 26, 2009 <a target="_blank" href="http://www.candlewave.com">http://www.candlewave.com</a>  About the Author: Get the Free Trial of our Action Suggestions at <a target="_blank" href="http://www.candlewave.com/">http://www.candlewave.com/</a> The Action Suggestions cover the major Indexes, Gold, Silver, Crude Oil, five popular Forex pairs, each of the Dow Industrials individually, and the NASDAQ 100 - published three times per week.Article Source: <a href="http://www.articlesbase.com/">ArticlesBase.com</a> - <a href="http://www.articlesbase.com/investing-articles/black-candlesticks-in-the-euro-and-pound-say-the-dollar-is-alive-and-well-1383187.html" title="Black Candlesticks in the Euro and Pound say the Dollar is Alive and Well">Black Candlesticks in the Euro and Pound say the Dollar is Alive and Well</a>

Don’t believe the predictions about the “Death of the Dollar.” It is doing just fine against the Canadian Dollar and the Yen, thank you; and tall black Candlestick patterns in the Euro and in the Pound are the first evidence of long declines which, in turn, will elevate the Dollar Index to levels which we have not seen in more than a year.

It has been fashionable to decry the decline in the value of the Dollar over the past several months; and the lower it has traded, the louder has become the negativism as the opinion of naysayers has recirculated and reinforced itself while the size of the Dollar-bear baying herd has grown. It is axiomatic, of course, that when “expert” opinion accelerates in one direction to the point at which nearly all participants are of a single mind, their opinion is probably wrong.

That is precisely what has occurred in the case of the US Dollar. In Elliott Wave terminology, the Dollar Index had declined ever closer to completion of a major fifth (and last) Wave Down, so in our view it was just a question of time before the bottom was marked and the Index turned about and began to rise.

The Dollar was already low as against the Canadian Dollar and the Yen, so we kept an eye on those two as probably the first to “break.” The Pound was due for a rebound before it were to fall in a substantial manner, so we determined simply to wait it out until the Pound were to find its own top, and then reverse. The Euro was high, but our Indicators told us that a turn was coming soon.

Here is what has happened: The US Dollar has, in fact, advanced very nicely as against the Canadian and as against the Yen, and those advances continue apace. The Pound did make its top, as forecast, showing a bearish tall black Candlestick, and has turned strongly down; and the Euro has now topped and reversed to the downside, also as forecast, also in a strong bearish black Candlestick.

The upshot, of course, is that the Dollar Index is making a strong recovery, while displaying bullish tall white Candlesticks. We expect to see the Dollar Index at 85 or better.

We knew it was coming. We knew it all the time.

William Kurtz

October 26, 2009

http://www.candlewave.com

Get the Free Trial of our Action Suggestions at http://www.candlewave.com/ The Action Suggestions cover the major Indexes, Gold, Silver, Crude Oil, five popular Forex pairs, each of the Dow Industrials individually, and the NASDAQ 100 - published three times per week.

Rate this Article:

0 / 5 stars - 0 vote(s)

Re-Publish

Article Source: http://www.articlesbase.com/investing-articles/black-candlesticks-in-the-euro-and-pound-say-the-dollar-is-alive-and-well-1383187.html

Article Tags: candlestick, candlesticks, reversal, bullish, bearish, euro, pound, dollar, elliott wave, canadian, yen, reversed, recovery, dollar index, canadian dollar, recoverypattern, patterns, index

Related Videos
Related Articles
Ask / Related Q&A

Play

How the Weak Dollar will Affect You

Play

Small Business Advice - The Girls Guide for Building a Million Dollar Business

Play

How to Make a Bow-Tie out of a Dollar

Play

How to Make an Origami Heart using a Dollar

Play

How to Fold a Dollar Bill to Make a Finger Ring

Latest Investing Articles
More from William Kurtz

Your Best IRA CDs May Be Only Part of Your Retirement Porfolio

By: Jim S | 28/11/2009
What is the best IRA CD for your retirement account? It's hard to believe but just about any low risk fixed income security can work when combined with a risky asset portfolio? There have been numerous examples in the last several years of people who are unfortunately outliving their nest eggs because of an overly conservative investment strategy. Ditching Your Risky Asset Portfolio Too Soon Is Risky People living on a fixed income stream are relying on their interest income to p...

HYIP Review

By: Yousuf Ahmed Tuhin | 28/11/2009
Every Body we know HYIP site is really risky. But, we go there & invest money. Because, its a really profitable. Here I discuss, how you invest money on HYIP.

Best Stock Future Tips Indian Stock Market

By: narendra nainani | 28/11/2009
L & T,DLF,Unitech and ICICI Bank clarified that they had the nominal exposure to Dubai.

Best Stock Tips U.S. Stock Market

By: narendra nainani | 28/11/2009
Support for DOW is at 10200 and NASDAQ 2100

Choosing An IRA versus CD -- Why Put Both Together?

By: Jim S | 27/11/2009
So the question came up, "IRA versus CD? Which is better?". The world of finance has been turned upside-down in the last eighteen months and people don't know what to do. Many have watched their investments tank, either due to the economy, corporate malfeasance or financial fraud. Those who were lucky to dodge those bullets have watched the stock market go from the mid 6000s on the Dow up to over 10,000 in just a couple of months. How can this be? What Is Causing the Market to M...

Dubai Drops a Turkey on Global Markets! November 27, 2009

By: Sy Harding | 27/11/2009
Dubai’s government-owned ‘sovereign investment company’ stuffed the Thanksgiving turkey with a bombshell announcement that gave many investors indigestion before the bird was even carved.

How to Get Rich - How to Profit Buying and Selling Penny Stocks

By: Bryan Burbank | 27/11/2009
Buying and selling penny stocks can be a great way to make money. You need to have knowledge to be a great trader and profit form your trades. It is always a good idea to do your research before purchasing any type of stock. The people who do the foot work usually come out on top.

Review of the Stock Picker Penny Stock Prophet - What You Need to Know

By: Duane Atkinson | 27/11/2009
Penny Stock Prophet is one of the most recent options in the stock picker market niche. If you are aiming to make some cash in the stock market without devoting the time or having the knowledge which professionals have and use, this is a great choice for you. There are some things to understand about the stock picker before you get it, though. Penny Stock prophet is a penny stock generator, suggesting that it researches real time market information, in particular penny s...

Candlestick Patterns Show a Faltering Dow

By: William Kurtz | 11/11/2009 | Investing
Dow Industrials prices havNe been in a powerful upsurge since November 5. This movement is reminiscent of the Tulip Bulb Craze, the South Seas Bubble, and the stock market environments of October 1929, of January 2000, and of October 2007. Candlestick Reversal patterns which have now emerged are telling us that the upsurge has a limited life expenctancy now.

Black Candlesticks in the Euro and Pound say the Dollar is Alive and Well

By: William Kurtz | 26/10/2009 | Investing
For many months, sentiment among the professional commentators and among the public has been that the US Dollar is fading and doomed to extinction. Not so fast: It has reached a major Low as against other major currencies, and is poised for a strong revival as the Euro, the Pound, and others lose relative value.

The Party is Over and Candlestick Reversal Patterns Are On the Charts

By: William Kurtz | 28/08/2009 | Investing
Stock Index prices appear to have topped today. Candlestick reversal patterns this week indicate that prices will probably decline soon, if not immediately.

The Joy of Looking: Unearthing New Japanese Candlestick Reversal Patterns

By: William Kurtz | 21/08/2009 | Investing
It is immensely gratifying to discover Candlestick reversal patterns which are not described in the literature. I found two of them recently, which have proven their potency in the Great Rally of 2009.

Rearranging the Deck Chairs on the Titanic?

By: William Kurtz | 15/08/2009 | Investing
Investment analysts are spending much time and effort arguing over whether the Recovery will continue strongly or not. The question arises? Have they missed the point - is the Recovery already history?

Newly Discovered Candlestick Reversal Pattern Pops Up Again

By: William Kurtz | 07/08/2009 | Currency Trading
Last January, we identified a variation on the "Evening Star" Candlestick reversal pattern in the Dow Industrials, and watched it duplicate the bearish tendencies of the Evening Star as it drove prices all the way down to the major low of March 6. Now we see what may be another, and very current, example of this variation, in the British Pound. We have given this variation the name "Osaka Clipper."

Bearish Engulfing Candlestick Pattern May Signal End of the Rally

By: William Kurtz | 05/08/2009 | Investing
Today's price bar in the NASDAQ 100 and NASDAQ Composite Indexes appears to be a "Bearish Engulfing Outside-Down Day." Assuming that my incoming electrconic data are accurate, this may be a credible signal that the Rally is over.