Thursday, June 24, 2010 - US Dollar Index - THE VULCAN REPORT

THE VULCAN REPORT
Review of US Dollar Index ECN (UUP)
as of Wednesday, June 23, 2010



    CHART PATTERNS

A big black candle occurred.  This is bearish, as prices closed significantly lower than they opened.  If the candle appears when prices are "high," it may be the first sign of a top.  If it occurs when prices are confronting an overhead resistance area (e.g., a moving average, trendline, or price resistance level), the long black candle adds credibility to the resistance.  Similarly, if the candle appears as prices break below a support area, the long black candle confirms the failure of the support area.

During the past 10 bars, there have been 4 white "UP" candles and 5 black "DOWN" candles for a net of 1 black (DOWN) candles.

During the past 50 bars, there have been 27 white "UP"  candles and 22 black "DOWN" candles for a net of 5 white (UP) candles.

An engulfing bearish line occurred (where a black candle's real body completely contains the previous white candle's real body).  The engulfing bearish pattern is bearish during an uptrend.  It then signifies that the momentum may be shifting from the bulls to the bears. 

If the engulfing bearish pattern occurs during a downtrend (which appears to be the case with US Dollar Index ECN), it may be a last engulfing bottom which indicates a bullish reversal.  The test to see if this is the case is if the next candle closes above the bottom the current (black) candle's real body.



PulseScan Swing Vix              Swing Index

PulseScan:    -39.53
Swing Vix:    -39.59

The Market Pulse is negative since it is trading below its signal line.The PulseScan crossed above the Swing Vix   1 period(s) ago.

The Trend Channel is UP!  (i.e. "Positive Swing Vix") This means that positive momentum has entered the market. Expect sideways to higher prices within the next 3-5 days   


  A buy or sell signal is generated when the Swing Vix moves out of an overbought/oversold area.  The last signal was a Over-Bought Sell  9 period(s) Ago.


The Swing Vix does not currently show any Failure Swings.
The Swing Vix and price are not diverging.
        Since the Swing Vix crossed its moving average, US Dollar Index ECN's price has decreased 0.40%, and has ranged from a high of 25.1600 to a low of 24.9300.

     MARKET TREND

Currently the TREND is Bullish-Retracement- Up.
Today's Trend Momentum reading for US Dollar Index ECN is:

       Bullish\

The close is currently Above it's Long Term period moving average. 23.9250
The close is currently Above  it's Intermediate Term period moving average. 24.7248
The close is currently Below  it's Short Term period moving average. 25.1467
    
Trend Strength

   
Bullish Consolidation



VOLATILITY

On 6/23/2010, US Dollar Index ECN closed  
above the lower band by 18.8%.


PANDORA'S LITTLE BLACK BOX


PulseScan LONG ENTRY :  

      





Possible IntraDay 1st PulseWave Consolidation Break-Out -  25.1875

    Profit Target  25.7100
   Stop Loss/Stop & Reverse  25.0239






INTRADAY PRICE PROJECTIONS
        RESISTANCE  25.1082
        SUPPORT  24.9818




Swing Vix SHORT ENTRY : 










       






This commentary is not a recommendation to buy or sell, but rather a guideline to interpreting the specified indicators.  This information should only be used by investors who are aware of the risk inherent in securities trading.  The Vulcan Report accepts no liability whatsoever for any loss arising from any use of this expert or its contents.liability whatsoever for any loss arising from any use of this expert or its contents.