The drop in demand for risky assets pressured the commodity-linked New Zealand, Australian and Canadian Dollars on Monday. The AUD USD chart suggests that downside momentum is building which should drive this market through the most recent bottom at .8067. The main trend turned down in the NZD USD late last week and continued lower on Monday.

Stock index futures ended the day lower after bids were pulled late in the session allowing the market to plunge to new session lows. Although the December E-mini S&P 500 made a new high for year, the inability of the Dow and NASDAQ futures to follow-through to the upside created a bearish divergence that helped weaken the market throughout the day.

The lack of fresh economic reports today gave traders no choice but to look at the trend and resume selling pressure on the U.S. Dollar. The U.S. Dollar resumed its downtrend from the opening of the New York trading session after trying to mount a small comeback late last week.

For those that do not know what that means, it means that it is time to raise cash by selling down some of our longs. We recently have gone long quite a few stocks that have performed very well. Some of you made the right decision and took a lot of profits when some were up 20% to 50%. That was very smart.