DXY – NYBOT Dollar Index (Last:80.88)

Although the supposed economic recovery has yet to touch the working man or the American middle class, it’s got Europe and most of the developed world drooling with envy. Naturally, they’re keener than ever right now to conduct their business and hold their reserves in dollars, the sole monoped in a global footrace of currency quadriplegics. Add a mere hint of Fed tightening, and we should soon expect the greenback to vault the 80.93 midpoint resistance, then explode toward the 82.17 Hidden Pivot rally target shown. This is likely to be only the beginning of a strong dollar rally, since it’ll be years before Europe shows enough economic strength to offer a viable alternative in the euro. For the time being, the dollar seems destined to be where the fun is in the financial world.