From the Desk of Ian Culley @IanCulley
Perhaps you’ve noticed that I don’t use moving averages.
For starters, I don’t like the way they look.
They muddy the pristine waters of price. And if I can’t pick up on the underlying trend by looking at price action, then god help me.
Regardless, I do my best to stay open-minded. Everyone has their own process. Mine works for me, but that doesn’t make it superior by any stretch.
So, when Grant @GrantHawkridge dropped a US Dollar Index $DXY moving average crossover study in our analyst Slack chat last weekend, I couldn’t resist.
It wasn’t because it highlighted the “death cross” (when a 50-day moving average falls below a longer-term 200-day average), which always stirs a great deal of excitement.
Nor was it what his study suggests for the dollar in the coming weeks and quarters.
Rather, it’s what it implies for US stocks.