DXY long: Is Bitcoin the canary in the coal mine?
Hello traders
DXY has found solid weekly support and has closed above the breakout level.
Gold closed the week with a significant bearish engulfing candle.
US10 Y has also found support.
That leaves Bitcoin which has been trading below the $100,000 level for 9 sessions in a tight range. I believe that the indecision on Bitcoin is not about any lack of future support for crypto by the Federal Government but the impact of the tariffs and the Ukraine war on risk taking. Hence, the conclusion that the USD will turn up again. Keep an eye on the other safe haven currencies, CHF and JPY, too.
I believe that the tariff mania has subsided now that there is some breathing room until the car tariffs kick in on April 2nd and our trading partners, Canada and Mexico have been given a short extension. We all know how fickle and unpredictable Trump is, so anything can change with no advance notice.
The geopolitical situation is ugly, to say the least. Both President Trump and Vice President Vance have made it clear to Europe and the UK that the isolationist policy of America first is well and alive.
The most concerning issue is that it appears that Trump is dealing directly with Putin and sidelining the European union, the UK and most importantly, President Zelensky, in hammering out a peace deal. Pete Hegseth has said as much too: Ukraine should not expect to have their original SOVEREIGN borders restored.
The audacity of this administration that we are currently seeing in the USA with mass firings by the unelected DOGE leader, Musk, who even gained access to Treasury Department payment systems, is OUTRAGEOUS and is now spilling over into the international arena. Trump seems dead set on unilaterally deciding how the Ukraine/Russia will come to an end.
The European union and the UK have called an emergency meeting for tomorrow but pending the outcome of their resolve to provide more support to Ukraine, it may put the EUR/USD on the backfoot.
Trump chaos reigns!
Best of luck.
DXY has found solid weekly support and has closed above the breakout level.
Gold closed the week with a significant bearish engulfing candle.
US10 Y has also found support.
That leaves Bitcoin which has been trading below the $100,000 level for 9 sessions in a tight range. I believe that the indecision on Bitcoin is not about any lack of future support for crypto by the Federal Government but the impact of the tariffs and the Ukraine war on risk taking. Hence, the conclusion that the USD will turn up again. Keep an eye on the other safe haven currencies, CHF and JPY, too.
I believe that the tariff mania has subsided now that there is some breathing room until the car tariffs kick in on April 2nd and our trading partners, Canada and Mexico have been given a short extension. We all know how fickle and unpredictable Trump is, so anything can change with no advance notice.
The geopolitical situation is ugly, to say the least. Both President Trump and Vice President Vance have made it clear to Europe and the UK that the isolationist policy of America first is well and alive.
The most concerning issue is that it appears that Trump is dealing directly with Putin and sidelining the European union, the UK and most importantly, President Zelensky, in hammering out a peace deal. Pete Hegseth has said as much too: Ukraine should not expect to have their original SOVEREIGN borders restored.
The audacity of this administration that we are currently seeing in the USA with mass firings by the unelected DOGE leader, Musk, who even gained access to Treasury Department payment systems, is OUTRAGEOUS and is now spilling over into the international arena. Trump seems dead set on unilaterally deciding how the Ukraine/Russia will come to an end.
The European union and the UK have called an emergency meeting for tomorrow but pending the outcome of their resolve to provide more support to Ukraine, it may put the EUR/USD on the backfoot.
Trump chaos reigns!
Best of luck.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.