So, the USD Index broke above its declining resistance line, and it verified the breakout. What’s next? Next, the USD Index is likely to soar. For now, it has moved higher, but not very significantly so. {chart} On the above chart, you can see that the tiny move to new yearly lows was quickly invalidated and that USDX has moved higher since that time. {charts} Zooming out, however, allows us to see that this move is pretty much nothing compared to the recent decline. The RSI is still below 30, indicating an extremely oversold condition. This is as bullish as it gets, especially given the USD Index’s tendency to turn ... (full story)