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Boris Chikvashvili

Boris Chikvashvili

Boris Chikvashvili was supposed to be a theoretical physicist (Russia+Jerusalem Hebrew University, MS Physics, with distinction, toyed with QUARKS). Somewhere on the road to PHD…

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Collapsing Dollar? Not So Fast

CAD
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Dear Readers, undoubtedly, US Dollar has undergone considerable decline lately. There is perhaps a bit more to come early next week.

Nevertheless, we think that April 8 +- 2 td(trading days) is an important cycle date for Dollar to find some strength and mount rally.

Dear President Obama promised doubling of USA exports, FED refused to let up on QE2 and there are plenty of People inside and outside of government circles who see the Dollar depreciation as a blessing.

Frankly, I am one of them. Barring the reversal, or complete do over of globalization, there is no other way to make USA more competitive in the world markets.

Yes, I know, Germany does it with stronger currency and higher costs. I should note though that, GERMAN model is not entirely applicable to USA. Quality and Quantity of US population, demands other ways of handling the current situation of overvalued and over-payed compensation structure in USA. I am sure, you know what/who I mean when I refer to over-payed. Just see the definition of SOPITALISTS and you will know.

To shorten your search, here is the list. Bloated Central and Local Governments( UNIONS included), Banksters, Corrupt(money, not content driven) Media Court-Yard Economists( and education elites), over-payed corporate chiefs.

The biggest problem for masses in this necessary evil - Dollar Depreciation is in how it is performed. It is done in a way that the masses are taking the disproportionate hit, while the SOPITALIST retain or increase wealth.

I will go back to a much more just way that this process needed to be performed. Instead of FED , elite choosing who gets the cheap/free money, it has/had to be distributed to the entire population on equal bases. You will notice, the Court-Yard Economists, will not respond and/or discuss this idea.

They are not payed to do social justice. They are payed to prop the SOPITALISTS.

If, our Dollar Forecast, is correct, then we shall observe, considerable slowdown and eventual fall in the stocks market, gold, oil and commodities in general (ANTIDOLLAR as we refer to them). This does not mean, New Highs are not possible in them, just that time is close for the reversals.

Resistance and possible turn prices

EURO: 1.4650-1.4700
OIL 115
GOLD 1543
SILVER 44

Support
UUP 21.20
GOLD/SILVER ratio 35.50

 

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