DXY is a false US Dollar indicator, use BTC instead ! Short .94?
Updated
The DXY, or US Dollar Index, is calculated based a baskets of six US ICE trading partners. Those partners, the euro, Japanese yen, British pound, Canadian dollar, Swedish krona and Swiss franc all practice debasement to some degree, often "less bad" than the US. Right now, I would short the USD on the resistance at 0.94 but I'd rather long BTC.
Here's why...
Federal banks can't stop printing to support the system or it will crumble. FIAT debasement is an assured things since it the only politically acceptable solution.
We'll deal with rising cost of good and decrease availability of goods because they become too expensive and unaffordable. And we'll have the masses saying "I should have bought some bitcoin 50K!"
The charts indicates DXY might go down which could correlate with Bitcoin's breakout this quarter. Enjoy the roller coaster! I might get the time to check the FIAT pairs on DXY to see what each of the chart indicates and if anyone has done that, let me know
The basket is EURUSD, JPYUSD, CADUSD, GBPUSD SEKUSD and CHFUSD
Final note: Some Forex traders have noticed strong reverse correlation between the USD and CHF (Swiss Franc), pay attention to that CHFUSD although the Swiss National Bank (SNB) has to print Francs to buy Euro so the CHF doesn't skyrocket. So DXY is a comparing a basket of manipulated FIAT currencies. Your 25 cents chocolate bar will be worth $5 pretty soon!
Here's why...
Federal banks can't stop printing to support the system or it will crumble. FIAT debasement is an assured things since it the only politically acceptable solution.
We'll deal with rising cost of good and decrease availability of goods because they become too expensive and unaffordable. And we'll have the masses saying "I should have bought some bitcoin 50K!"
The charts indicates DXY might go down which could correlate with Bitcoin's breakout this quarter. Enjoy the roller coaster! I might get the time to check the FIAT pairs on DXY to see what each of the chart indicates and if anyone has done that, let me know
The basket is EURUSD, JPYUSD, CADUSD, GBPUSD SEKUSD and CHFUSD
Final note: Some Forex traders have noticed strong reverse correlation between the USD and CHF (Swiss Franc), pay attention to that CHFUSD although the Swiss National Bank (SNB) has to print Francs to buy Euro so the CHF doesn't skyrocket. So DXY is a comparing a basket of manipulated FIAT currencies. Your 25 cents chocolate bar will be worth $5 pretty soon!
Note
Always research... From the Swiss National Bank (SNB)."Monetary policy assessment of 23 September 2021 Swiss National Bank maintains expansionary monetary policy The SNB is maintaining its expansionary monetary policy with a view to ensuring price stability and providing ongoing support to the Swiss economy in its recovery from the impact of the coronavirus pandemic. It is keeping the SNB policy rate and interest on sight deposits at the SNB at −0.75%, and remains willing to intervene in the foreign exchange market as necessary, in order to counter upward pressure on the Swiss franc. In so doing, it takes the overall currency situation into consideration. The Swiss franc remains highly valued."
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