US DOLLAR INDEX Daily analysis, long trade idea
After a long period of uptrend, US DOLLAR INDEX reached its critical point. The Fed raised interest rates last week. After that, dollar index a very strong growth and reached the level of 114.400.
What's next ?
I have no problem admitting that the XXX/USD short trade is the only trade right now, with the US Federal Reserve and other central banks intent on raising interest rates until the end of the year.
Why us dollar index is continue to rise ?
Money supply
From the start of pandemic-related government spending in the spring of 2020, to today, the US government has printed over $6 trillion.
Why is that important? Because money supply growth and inflation are inexorably linked.
This year the Fed is aggressively raising rates and that’s good for the dollar
What's next ?
I have no problem admitting that the XXX/USD short trade is the only trade right now, with the US Federal Reserve and other central banks intent on raising interest rates until the end of the year.
Why us dollar index is continue to rise ?
Money supply
From the start of pandemic-related government spending in the spring of 2020, to today, the US government has printed over $6 trillion.
Why is that important? Because money supply growth and inflation are inexorably linked.
This year the Fed is aggressively raising rates and that’s good for the dollar
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