I don't like to post my thoughts on indications, but I'm in the same ball park for gap target one at 5.43 with a 8 .2 in strength and no resistance. Probability and conformation indicate well, better than other methods. FIB/dollar isn't reflecting weaker economic growth numbers yet, but somewhat to sentiment of earnings. Yes to QE. Seeing the next target at 5.68 and then 5.88 with about a 7 strength. Downside is 1/7 - 5.43 and 2.4/1 heading over several weeks.
The market has had time to price in QE3 and a new Bank of Japan program, and it didn’t instigate a new leg higher. At this point, a dollar collapse could drive us above $1,500. The $ failing to overtake the mid-point of the index’s past decade trading range below 16,000 – there is a clear risk for profit taking and reversal. The same assessment can be made when looking at EURUSD as it struggles at 1.3000 and USDJPY after the tentative change of trend after failing to overtake 100.