Dollar Screaming To The Upside

The U.S. dollar index is screaming to the upside, rising an unprecedented 7.99 percent in the past eight trading days.

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The index is set to take out its December 2016 high of 103.65, which would open the door to move higher as there is very little technical resistance until the 2001/02 highs at 121.02

Big Caveat

Given that trade flows have almost ground to a halt, it is difficult to determine how sustainable the move is and even more difficult to extract a meaningful signal, except that the global economy is in the midst of a dollar shortage.  Many overseas companies have dollar liabilities they are trying to match up and the U.S. remains a safe haven during times of uncertainty.

Dollar Index

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