The ceiling of 100 has been a historically stubborn level. But looking at the same level on a longer horizon also shows the explosion of dollar strength above 100. The market only expects two rate hikes in 2016 despite the Fed dot plot estimating four. The market has not begun to factor in additional moves and other fundamental features that are dollar positive (carry trade).
Pushing through 100 may prove to be difficult but the squeeze afterward is the money maker.
Pushing through 100 may prove to be difficult but the squeeze afterward is the money maker.
