David.

Thank you for the article at Daily FX and also thanks for the warm welcome.

from daily FX
"Since the economy is not strong enough to raise interest rates, the Federal Reserve and US Treasury hopes that an appreciation of the US dollar would help to curb inflation, but we believe that they will stop short of physical intervention."

Very similar to early 2000s when Greenspan had no room to lower the interests even more. And came up handy to lower the dollar instead, along with other reassons such as helping euro or busting exports. I said similar because at this time the FED have no room to move the rates in a dimela of helping the economy or avoiding inflation. It's a very hard call. Once again, makes a lot of sense to change policies for the US Dollar.

Let's see how it developes. Something big it's about to happen. A lot of noise it's being heard. Keeping an eye on the montly, weekly and daily charts.

Good trade!

Hey Daniel,

My pleasure. It sounds like you have a good understanding of the FX market so I am glad to have you as a part of the community.

I agree that this is a big change for the US Dollar and could be very significant in terms of putting in a top for the currency. The only thing that would have me a little worried about that trade is that I think most are in agreement on that and anytime the "boat gets tipped too far in one direction" the market has a nasty habit of doing the exact opposite of what it should.

I am also in agreement that the longer term charts are where the moves are going to show on this one so I am putting my attention there as well.

Good Trading,

Dave