Friday Forex Round-Up

On the weekly chart, notice the following:

-- The dollar has broken out of a multi-year downtrend.

-- The 10 and 20 week SMA are both moving higher

-- Prices have technical support at the 10 and 20 week SMA

-- Prices also have technical support at the long-term downward sloping trend line that prices broke through a few weeks ago.



On the daily chart notice the following:

-- Prices have fallen through the two month rally that started in mid-July

-- Prices are using the 50 day SMA as technical support

-- The 10 day SMA has moved through the 20 day SMA

-- The 20 day SMA is turning lower

This is a borderline chart. While the shorter SMAs are indicating a downward trend, the 50 day SMA is moving higher. This means the long term trend (which is higher) is intact.