Seasonally, January is the strongest month for the dollar index
January is by far the best month on the calendar for the US dollar index.
Since 2000, the average gain has been 1.03% and it's been 1.00% over the past 30 years. Last year the rule proved true with a 0.99% gain that was the start of a third consecutive year of gains for the dollar.
Politics and the Fed have been driving the dollar for the past three months and with no Fed meeting until Feb 1 and the inauguration on Jan 20, there are no near-term worries on that front. So why not stick with the trend?
