Submitted by Phoenix Capital Research on 02/01/2011

As the below chart shows, the greenback needs to rally and rally hard if we’re not going to head into a SERIOUS collapse shortly.

What you're looking at is the US Dollar right on its multi-year trendline. If we take this out now, then we are heading into an inflationary death spiral in very short order.

Indeed, once we take out this line, we're just a few ticks away from triggering the MASSIVE Head and Shoulders pattern the greenback has formed over the last 20 years.

In case you're wondering, this pattern has an ultimate target of 40... a full 50% lower than where the US Dollar is today.

We're talking about hyper-inflation on an order that would make Weimar Germany proud. And if we break the green line above, we're THAT much closer to this becoming a reality.