Everybody Wants U.S. Dollars!

For this past week, the U.S. Dollar has proven to be the currency of choice. Most other currencies lost ground in active trading. For the week, the Dollar gained 1.3% against the Euro, 1.3% against the Japanese Yen, and a whopping 2.8% against the Aussie Dollar. Adam Hewison our trading partner at INO.com tells us..... "I see these trends continuing and would not rule out setbacks, but the trend is clearly established in favor of the U.S. Dollar right now".

The June Dollar closed higher today and tested the 87% retracement level of the 2012-2013 decline crossing at 84.52.The high range close sets the stage for a steady to higher opening when Monday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near term.

If June extends this month's rally, the July 2012 high crossing at 85.29 is the next upside target. Closes below the 20 day moving average crossing at 82.81 would confirm that a short term top has been posted. First resistance is today's high crossing at 84.52. Second resistance is the July 2012 high crossing at 85.29. First support is the 10 day moving average crossing at 83.19. Second support is May's low crossing at 82.82.

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