Market view

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Well just a quick update after markets here...

Overall it was a BRILLIANT day if you are short and long the dollar. Wow...the dollar exploding higher as I expected and been long the dollar for the last weeks now.

Looking at it all, I see a perfect HS pattern in the markets and in the Gold where we made the right shoulder today in gold. When gold is moving down the dollar will most likely move up and breakout.

As I told before I think the dollar will break above 80 and rally further. Everything in line for a nice breakout in the dollar and plunge in the euro. But the euro FXE is right now at CRITICAL area support. A breakdown below here is VERY bearish the euro and that indicates that much more selling ahead. I think the euro will breakdown and the dollar will continue rally short term. I see the SPX near 1130-1150 at least before any big rallies, so for now still long the dollar and short the markets. Looks like gold made a major top and should see a nice decline at least to 1.180 area before any big moves higher. It was an overcrowded trade the gold and needs to go down a bit.

Overall will be VERY interesting tomorrow imo, cause will the euro hold good big support here ? (look FXE reversed direct from MACD trendline as spotted weeks ago) Will the dollar breakout higher ? 30 min chart and 60 min chart VERY oversold in markets now indicating a good day to buy the dip (But remember when we are down here thats when the biggest extreme moves will happend - so might still be oversold.....)

All in all best of luck I think we are about to see a nice breakout in the dollar and heavy selling in markets to begin.

Have fun everyone