Dollar Century : The Gaps


Back in 2014, at the KER website, I noted a significant Dollar Index gap (.50+) left over from 2003, and that it could fill. It did so later that year into 2015. Today I've found on the monthly chart that an earlier 2002 wick gap exists between 114.40 and 114.54. Unfortunately, confirming daily chart data is not available; however, no matter because it had subsequently been tagged in September 2022.

My rule is that Dollar Index gaps, to be securely closed, must be covered multiple times, or else a shadow gap remains (somewhat like painting white over a dark porous surface for full coverage). Because of this, even though a long term bear flag is apparent, there is a very real possibility that the 2022 high of 114.78 will at least be tested.

The Bullish Case

AB (1:1) CD = 125.14