Good day traders.

Lets look at the US dollar index chart below.

us dollar index october 2010 analysis

US Dollar Index

The dollar index is looking bearish still. With market sentiments being positive on foreign currencies and gold price rising, it is why we see the dollar being heavy as a rock.

If you want to long dollar, I would suggest waiting for 2 things technically:

1. Wait for the trendline to break to the upside

2. Wait for the price to close above 100MA.

Have the above in mind if you are planning to go long dollar. At the moment, those signals are not there yet.

Good luck on your trading!

~ Ardy

Singapore Forex Traders Blog