Source: advisorperspectives: dshort Featured Charts

Moving back to what messages the emerging markets are signaling, it appears the USD Index is on the verge of breaking a rising trend line support (red line below), and if it weakens below the key 78 level, it looks like we will have a completed head-and-shoulders top, which would project a return to the 2011 summer lows near $73-$74. The Fed's decision this week to expand QE3 with $45B monthly purchases of UST's is likely a major catalyst that would lead to USD weakness in 2013.