Let's look at our Cycle model first that could indicate a LOW for the most important of all timeseries, the DOLLAR!
More interesting though is the comparison with 1995 which followed a distinctive roadmap that seems to repeat today.It all starts with a failed set up in the weekly Exhaustion indicator, that leads to a waterfall A-B-C exhaustive sell down with shows in a final extreme in the daily EXH indicator. The final spike did not set a new LOW in the US$ price.
1995 was the archetyp situation where everyone was on the same side of the 'boat'/ trade which in turn lead to a reactionary rally that ran 40 points!! The rally went for 6-7 years !!
1995 was the archetyp situation where everyone was on the same side of the 'boat'/ trade which in turn lead to a reactionary rally that ran 40 points!! The rally went for 6-7 years !!1995 was the result of currency manipulation (=read Dollar depreciation) after the 1985 Plaza Accord which forced Germany and Japan to strengthen their currencies which did help US manufacturing jobs in the 1986 to 1995 period.
So if you were long the US$, you were literally fighthing the almighty BUNDESBANK, so nobody did. They did this to help create jobs in the US.
......this should all sound very 2011 to you !!!
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