NYBOT Dollar Index

My immediate target is still 79.05, but if that Hidden Pivot should be exceeded by more than 0.05-0.07 points, look for more upside to at least 79.40.  That would obviously put downward pressure on silver and gold, but the latter would be an enticing speculative buy if the Feburary Comex contract happens to be trading at that time in the corrective target  range noted in today's Gold tout.  One more note:  If DXY closes above 79.40, brace for a finishing stroke to 79.90.  _______ UPDATE (11:52 a.m. EST): DXY popped to within 0.02 points of the 79.05 target on the opening and then receded, presumably to recharge for the next thrust.  The move created an additional target at 79.49 that may run into midpoint resistance at 79.12.

The dollar is taking its sweet old time to consolidate, but there is no mistaking the energy that is building for a follow-through to last week's impulsive thrust.  The main impediment at the moment is a Hidden Pivot midpoint at 78.54. If and when it gets swept aside, look for a run-up to at least 79.05,  or perhaps to  79.40 if any higher.

The Dollar Index appears to be having a devil of a time reaching a modest correction target at 77.89. This would ordinarily be bullish for the near term, but we'll stipulate that DXY must hit 78.32 before 77.89 before we infer speculatively that it's ready to resume the bull trend begun a week ago from 76.94.

In after-hours trading, the Dollar Index was creeping up on the 78.69 midpoint resistance flagged here earlier. Its ability to resist the trend should tell us whether we are likely to see a renewed surge to 80.78, its 'D' sibling.  If today's settlement is above the midpoint pivot, a move to the higher number over the next 7-10 days would become no worse than an even-money bet.

The Dollar Index has been having a devil of a time falling to a compelling Hidden Pivot support at 76.08.  While we might ordinarily ascribe latent strength to DXY because of this, the rallies have been too feeble to earn our confidence.  Notice how yesterday's seemingly ferocious rally left an obvious peak on the 30-minute chart intact.  If the bulls had  had any gumption, the peak should have been swept aside easily.  Even so, I wouldn't suggest trying to impede this apparently chicken-hearted rally.  But we should at least set the bar high to warn us if bulls should turn serious. For today, that would mean a push exceeding the look-to-the-left peak at 77.51 shown in the chart.

The Dollar Index has traced out some fiendish patterns recently, but I like the one shown, which promises to deliver 76.08 to the downside. Notice in the chart how all three coordinates -- A, B and C -- are delicately carved from single bars.  The midpoint support has already gotten pasted, hinting of more weakness to come.

DXY overshot a 76.91 support by 0.12 points -- probably enough for us to infer that still lower prices impend. However, the short-term bearish outlook would be diminished, though not negated, by a morning thrust exceeding 77.51 to the upside. That would create a bullish impulse leg on the hourly chart, setting up a possible reversal of the corrective forces that have dominated since just before Christmas.

The dollar is getting whacked Sunday night, creating a bearish impulse leg on the 180-minute chart. The move will be just noise, however, until such time as the 77.09 low from January 5 gets taken out. Just below it, at 76.83, is another benchmark by which we might judge the power of this selloff.  That's a Hidden Pivot support, and if it's exceeded by 0.10 or more intraday, or on a closing basis, it would imply yet more slippage as the buck struggles to consolidate.

The delicate precision of the pattern shown in the chart, coupled with DXY's bounce exactly from a Hidden Pivot midpoint at 77.45, lends authority to the 76.91 target associated with the midpoint. That's where we should assume this correction is headed, at least, but if DXY falls any lower it would be signaling more weakness over the near term. Alternatively, a pop above 77.64 would hint of a turn even if it won't negate the downside target.