Defending the dollar

The question from a strategic point of view is when does the U.S. start to defend the value of our currency. So far there has been what seems to be a concerted effort to make it weak. To judge by the actions of the governments in Euro-land they seem able to take the measures neccessary to keep the Euro afloat, "austerity", etc. Even if it causes some social unrest. We will have to do the same, eventually. When will that crisis come. I think it may come sooner than later.

Usually when a price touches a point three times, the price doesn't hold. Look at 22 on the above chart. That is the floor. If we fall through, we fall. I am sure that the Fed is cognizant of this price range. In any event, if we approach that area there will be a lot of pressure to defend the dollar.......Timing is everything.