Long-Term US Dollar Movement Analysis vs US Election 2020 Trump - Biden
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Fundamental Views:
The important point you need to know long-term US Dollar is still on the Bearish Trend
1. Economic prospects and current inflation cannot be raised back to higher interest rates
2. The Federal Reserve cannot stop inflation at the level they want
3. Inflation is the cause of the fall in the US dollar
4. The Federal Reserve maintained asset purchases, placed prices below bond purchases and saw zero rates until 2022
5. Changes in tariffs and international business under the leadership of Biden will create uncertainty
6. The Federal Reserve will go in the negative or use the indentation control as a result of Trump's victory
7. USD will only recover as a 'safe-haven' currency
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Technical Views:
This time it is quite interesting if we look at the Weekly US Dollar Index (DXY) chart where the mapping of Andrew's Pitchfork is almost unchanged for more than> 3 years and the expectation of movement from Point A upper line - resistance towards Point B median line - support is expected to reach at the end of the closing year Q4 2020.
What about the movement towards point C - Support - Lower Line? Expectations of market movements with the current situation as described below will also have an impact towards high probability for the market to remain bearish. This movement can be seen if the price crosses the median line and through basic Andrew's Pitchfork theory as well as experience-based monitoring it will inevitably be based on Newton's third Law theory which states "For every action, there is an equal and opposite reaction." - The rising market will definitely go down - Roger Babson
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Overview:
The overall current trend is still strong towards bearish despite the ongoing 4-5 months retracement / consolidation and is expected to continue to fall based on the above fundamental views and current global economic outlook although the 2020 election plays an important role for the future of the United States and Global leadership between Trump -Biden. The current Covid-19 crisis has also changed the global economic situation which is still high with uncertainty with rising global cases, closures / lockdowns, important economic sectors experiencing declines, rising job losses and others.
__________________________
Fundamental Views:
The important point you need to know long-term US Dollar is still on the Bearish Trend
1. Economic prospects and current inflation cannot be raised back to higher interest rates
2. The Federal Reserve cannot stop inflation at the level they want
3. Inflation is the cause of the fall in the US dollar
4. The Federal Reserve maintained asset purchases, placed prices below bond purchases and saw zero rates until 2022
5. Changes in tariffs and international business under the leadership of Biden will create uncertainty
6. The Federal Reserve will go in the negative or use the indentation control as a result of Trump's victory
7. USD will only recover as a 'safe-haven' currency
____________________
Technical Views:
This time it is quite interesting if we look at the Weekly US Dollar Index (DXY) chart where the mapping of Andrew's Pitchfork is almost unchanged for more than> 3 years and the expectation of movement from Point A upper line - resistance towards Point B median line - support is expected to reach at the end of the closing year Q4 2020.
What about the movement towards point C - Support - Lower Line? Expectations of market movements with the current situation as described below will also have an impact towards high probability for the market to remain bearish. This movement can be seen if the price crosses the median line and through basic Andrew's Pitchfork theory as well as experience-based monitoring it will inevitably be based on Newton's third Law theory which states "For every action, there is an equal and opposite reaction." - The rising market will definitely go down - Roger Babson
___________________________
Overview:
The overall current trend is still strong towards bearish despite the ongoing 4-5 months retracement / consolidation and is expected to continue to fall based on the above fundamental views and current global economic outlook although the 2020 election plays an important role for the future of the United States and Global leadership between Trump -Biden. The current Covid-19 crisis has also changed the global economic situation which is still high with uncertainty with rising global cases, closures / lockdowns, important economic sectors experiencing declines, rising job losses and others.