I found out about the death of Osama Bin Laden while watching the Sunday Night Baseball broadcast of my New York Mets playing the Phillies in Philadelphia. Word spread around the stadium like the wave. It was surreal as everyone except the players probably knew about it. Personally, I never thought I'd live to see the day. Its a great day for the United States and the war on terror.
However, our work in financial markets is never done. In my weekly column I've covered the calculations in the Greenback. We've had this running discussion for several years that when an important time window hits, the news event just happens to materialize. I can't explain it; I just accept it.
In this case, the dollar was as oversold and underloved as I can ever remember. But it is at the back end of the 233-day trading window to the top from last June. The pattern, as you can see from the hourly chart was already set up to bounce. Conditions were ripe and if the dollar needed a stiff wind or an excuse. This may be it. That being said, with any follow through on Monday we could see the usual inverse relationships to the dollar change direction.
Click chart to enlarge
Jeff Greenblatt is the author of Breakthrough Strategies For Predicting Any Market, editor of the Fibonacci Forecaster, director of Lucas Wave International, LLC. and a private trader for the past eight years.
Lucas Wave International (https://www.lucaswaveinternational.com) provides forecasts of financial markets via the Fibonacci Forecaster and other reports. The company provides coaching/seminars to teach traders around the world about this cutting edge methodology.