IPFS News Link • Federal Reserve

Richard Russell: Dollar Has Lost All Stability And Is Ready For A Crash

01-26-2011 • BusinessInsider.com/

Based on recent dollar movements he says that crash is going to come now (via King World News) First the dollar has lost all stability: Today there's no definition for the dollar. So how do we price the dollar? At one time, the dollar was priced in terms of the time-honored standards -- gold and silver. But today we must price the dollar against other fiat currencies. "A dollar is worth so much against the yuan, or so much against the pound sterling, or against the euro and so forth" Second the dollar is moving in a bearish pattern: To get back to the chart, we see that the Dollar Index is now trading below its blue 50-day moving average. The 50-day, in turn, is below the red 200-day MA. Thus, the Dollar is in the classic bearish configuration as long as it trades below its 50-day MA.