The US Dollar Stands at a VERY Interesting Juncture

President Trump is expected to be bullish for the dollar, but the markets frequently move in the exact opposite direction of the consensus expectations

• The bounce in the stock market on Friday probably had a lot to do with the quarterly expiration, but it still calmed things down enough so that the last week and half of the year will probably (repeat, PROBABLY) be quiet and somewhat uneventful.

• That said, the stands at a key juncture. The DXY index is trying to breakout of its two-year sideways range, BUT it has also become quite overbought. So, it’s getting ripe for a near-term pullback. Whether it becomes a bigger drop (like it has the last two times it became this overbought)…or is just a mild dip to work-off this technical condition…could/should be very important on several different levels.