DXY to 93.5 - may see further pull back in equities
DXY appears to have bottomed and has broken out of the 2020 downtrend and also the 92.25 key horizontal level.
We are likely to see a retest of the bottom of the multi-year uptrend channel to 93.5 - 94 which would likely translate into a further pullback in equities & crypto.
I would like to see the US indices pull back to their 200 day MA.
However in my opinion DXY will reverse down again and equities will continue higher in 2021 after this correction - I think it will be a while before we see 100's in DXY given the amount of printing that has happened in the last year. Almost 25% of all US Dollars in circulation were created in 2020 - source: www.thestreet.com/mi...ted-in-the-last-year
We are likely to see a retest of the bottom of the multi-year uptrend channel to 93.5 - 94 which would likely translate into a further pullback in equities & crypto.
I would like to see the US indices pull back to their 200 day MA.
However in my opinion DXY will reverse down again and equities will continue higher in 2021 after this correction - I think it will be a while before we see 100's in DXY given the amount of printing that has happened in the last year. Almost 25% of all US Dollars in circulation were created in 2020 - source: www.thestreet.com/mi...ted-in-the-last-year
Comment:
On Daily DXY has almost touched the 200 day MA
