The Big Pictures: December 6, 2011 — 1 Comment

  1. I've never looked at the data, but do professionals play the dollar with an ETF? I would assume more participation in the futures or just through allocating to dollar denominated instruments in a global portfolio.

    Regarding the implications, I guess we'll see. I'm obviously bearish longer term (at least to the 700's in SPX) and the degree to which professionals participate in an ETF is unlikely to sway me. In the end, the best indicator is price.

    Regardless, I see DX in a falling channel long-term. The rise to 87.076 (the .886 fib) would take it back to the top of the channel sometime before March 2012. I've added the longer-term chart above.