Analyst: Stocks Could Rocket if Dollar Weakens Substantially
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The Dow could rocket to 50,000 if the US dollar weakens substantially, according to technical analyst JC Parets.
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Parets said a weaker dollar is key for stock market bulls, as it would boost S&P 500 company profits.
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Parets is monitoring the US Dollar Index chart and said a breakdown below the 2020 lows near 90 would spur huge stock gains.
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With the dollar index near 100, Parets thinks it will break down further, benefiting stocks.
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Other technical analysts also see dollar weakness continuing, with support ranging from 99-100 before a major breakdown.