The Dollar Index rose against a basket of major currencies after news that European Central Bank policymakers were wary of making any changes to their policy message in April pressured the euro.
The chart below shows Dollar Index. I do not like calling tops and bottoms but if the Dollar has indeed carved out a low can we assume the Euro will fall further?
As the Euro makes up the largest percentage of the Dollar Index, if one falls the other is likely to rise and vice versa.
You would be brave to assume the Dollar Index has formed a low right now. As corrections can be complex I like to see further evidence before considering longs.
