March 24th, 2015
by Erik McCurdy, Prometheus Market Insight
A cycle high setup occurred this week, suggesting that the latest intermediate-term cycle high (ITCH) may have formed this week. A close below 97.77 next week would generate a cycle high signal and indicate that the decline phase of the current cycle is likely in progress. Editor's note: The U.S. Dollar Index closed at 97.23 Monday 23 March 2015.
An extended rally phase would reconfirm the current bullish translation and favor additional intermediate-term strength. Alternatively, a quick reversal followed by a move below the last intermediate-term cycle low (ITCL) at 93.84 during the next decline phase would signal the likely transition to a bearish translation.