Interest rate cut has been a signal. Be sensitive to announcements of further rate cuts.
We expect to see a fall for the next two years, and a decline to the bottom of Fibonacci.
The rate cut measures are not as many as before. In the last cycle, therefore, additional policy as Q.E was used when the rate cut measures were all exhausted.
The maximum interest rate was 5.25 and this time it is 2.5. Things get worse as the cycle repeats Maybe Q.E4 alone would be not enough. We can not know if the rebound will happen at qe4.
Could the next interest rate go below the zero rate? Could MMT, the evolution of q.e, be introduced?
We can not know. This is why technical analysis is also necessary.
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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.