Over the past few decades, the U.S. dollar has been weakening. Could this weakness be coming to an end?
Today’s long-term monthly chart highlights an important test for the U.S. dollar—and for the global financial complex.
Dollar Index Monthly Chart
Here you can see the dollar has been in a falling channel marked by each (1). It has continued to make lower highs and that has held any concerns in check… until now.
The dollar has created higher lows since 2008 and failed to break out of the falling channel on two other occasions. Will the third time be the charm at (2)?
A long-term breakout would add a wrinkle to the entire financial complex. This is a big test.
