friday - 8.10.10, page-18

Lol, thanks Calvo. Trying to make sense of things...

Popular logic has it that dollar down, stocks up. Dollar up, stocks down.

We have an oversold dollar, and overbought stocks.

But this chart shows they can get out of kilter with their respective tops and bottoms.

Especially at the time of the November 2008 share market low, when one would have expected the dollar to be way up there.

And the dollar bottom in December last year does not coincide with any significant high on the SPX.

The dollar index highs and lows with what was happening on the SPX at the time...