Since the dollar bettered my moderately bullish expectations last week, I’ve deployed a bigger reverse pattern that will give the rally more running room. Even so, we’ll be watching closely for a stall, possibly fatal, at p=104.65. That’s a midpoint Hidden Pivot resistance, and the usual rule applies: If it is impaled on first contact, that would shorten the odds of a further run-up to the next HP level, p2=107.19. The Matterhorn is March 8’s 105.88 print, and if it’s decisively exceeded, the 109.72 target would be in play. That could not but reflect a sea change in the global financial picture, so we’ll be keeping a close eye on the price benchmarks noted above. ______  UPDATE (Aug 23, 7:06 a.m. EDT): The dollar is headed for a crucial test of the 104.03 Hidden Pivot resistance shown in this chart. Remember, almost NO ONE wants a strong dollar, since it will increase the financial burden on EVERYONE who owes dollars. (Do you know anyone who doesn’t?) That is the chief and most destructive symptom of deflation, and it is a vastly larger creature than the relatively puny inflation that Covid stimulus loosed on the economy.  The deflation juggernaut has been gathering irresistible force since long before Covid, and we may be about to find out whether its time has finally come. With mortgage rates above 7%, it is already enjoying a powerful tailwind.