Menu
Brokers
MT4 Forex Brokers
MT5 Forex brokers
PayPal Brokers
Skrill Brokers
Oil Trading Brokers
Gold Trading Brokers
Web Browser Platform
Brokers with CFD Trading
ECN Brokers
Bitcoin FX Brokers
PAMM Forex Brokers
With Cent Accounts
With High Leverage
Cryptocurrency Brokers
Forums
All threads
New threads
New posts
Trending
Search forums
What's new
New threads
New posts
Latest activity
Log in
Register
Search
Search titles only
By:
Search titles only
By:
Menu
Install the app
Install
Reply to thread
Forums
Forex Discussions
Technical Analysis
Elliott Wave Analysis by EWF
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Message
[QUOTE="Elliottwave-Forecast, post: 200294, member: 40858"] Since bottoming earlier this year, US Dollar has steadily caught a bid. One of the primary reasons for the USD strength is because of the expectation that the Fed will start tapering later this year. The Fed has communicated their intent to reduce the emergency measures as the economy starts to recover from global pandemic. The market has more or less priced in this tapering. In the last Fed's meeting, Chairman Powell indicated a taper ending around mid-2022 may be appropriate. What is less clear however is how fast the Fed would raise interest rate and returns to a normal monetary policy. Inflation has been well above the the Fed's 2% target. Even using the Fed's preferred gauge for inflation, prices were up 3.6% in July year-over-year. The "dot-plot" of interest rate projection shows an even split between Fed officials who see interest liftoff in 2022 and those who see it later than that. Eight of the Fed members saw first interest rate hike in 2023. We will look at the weekly Elliott Wave chart for Dollar Index (DXY) below to see the expected move. [HEADING=3]Dollar Index (DXY) Daily Elliott Wave Chart[/HEADING] [URL='https://elliottwave-forecast.com/wp-content/uploads/2021/10/DXY20211011095234.jpg'][IMG alt="Dollar Index (DXY) Elliott Wave chart"]https://elliottwave-forecast.com/wp-content/uploads/2021/10/DXY20211011095234.jpg[/IMG][/URL] The Dollar Index (DXY) has reached inflection area from January 6, 2021 low at the blue box area of 93.7 - 96.3. The current rally from January 6, 2021 low is in 3 swing so far. It could be either an ((A))-((B))-((C)) in a bearish scenario, or ((1))-((2))-((3)) in a bullish scenario. If the move higher extends to 161.8% Fibonacci extension at 96.3, then the odd that it becomes a wave ((3)) of an impulse will increase. As far as it stays within the box, then the move up can be a zigzag ((A))-((B))-((C)). As the Index has reached blue box, it can soon turn lower in 3 waves at least. Shorter cycle, further upside extension can't be ruled out. However, a 3 waves pullback can soon happen assuming an ((A))-((B))-((C)) rally from January 6, 2021 low. This view will become less likely if the Dollar Index is able to rally to 161.8% extension at 96.3. If this happens, we may become more bullish in the index. Source: [URL]https://elliottwave-forecast.com/forex/us-dollar-reached-inflection-area/[/URL] [/QUOTE]
Insert quotes…
Verification
Post reply
Top
Bottom
This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
By continuing to use this site, you are consenting to our use of cookies.
Accept
Learn more…