Between 2020 - 2025 will be a difficult period for US Dollar
Hello all, here I give you an update about current market breaks down series on the tradingview. In this series, I'll do an update relating to the US dollar condition as the world's most use currency, S&P 500 as the biggest index in the world, Gold as a safe heaven investment, and last but not least, Bitcoin as the biggest cryptocurrency based on market capitalization.
I will look at the US dollar index first and I want to cover it for a long term use of this market. I use the monthly chart and I want to apply a very basic analysis yet so effective for current market breakdown. Just like we know, current COVID-19 issue has been a cause of current bearish market due to most of fundamental analyst. But, just to be honest, the COVID-19 issue is just a bull shit reason that they use for the current market's behavior. It's all at the chart which says everything about current crucial levels, price action and anything else. That's why I don't believe in fundamental, I just believe in Technical analysis.
Looking at the chart, there are 2 important things that I want to give highlight, there are 2 resistance trend line which is important, yellow and white. The white trend line is the trend line that has driven the price since 2001 and become the current resistance trend line for US Dollar index. Meanwhile, the yellow trend line is more important than the white one. The yellow trend line has held the price since 1984 which is a very long term trend line. Yes, the price has already broken out of this trend line since 2014 with a huge volume that has confirmed the bullish structure. But, At current break out structure, I haven't seen any sign of retesting the yellow trend line as the support because of prior break out (phase 2 of break out strategy). I don't believe that the price will continue its uptrend with a break out of current resistance trend line at white. I do believe that the price will try to retest the yellow support trend line or around 88 - 73 level of support.
So, be aware of current condition of US Dollar. We can see 1 more push higher to around $100 level and after that, huge drop is imminent. we will see a potential of 5 years (or more) recession of the global market.
I will look at the US dollar index first and I want to cover it for a long term use of this market. I use the monthly chart and I want to apply a very basic analysis yet so effective for current market breakdown. Just like we know, current COVID-19 issue has been a cause of current bearish market due to most of fundamental analyst. But, just to be honest, the COVID-19 issue is just a bull shit reason that they use for the current market's behavior. It's all at the chart which says everything about current crucial levels, price action and anything else. That's why I don't believe in fundamental, I just believe in Technical analysis.
Looking at the chart, there are 2 important things that I want to give highlight, there are 2 resistance trend line which is important, yellow and white. The white trend line is the trend line that has driven the price since 2001 and become the current resistance trend line for US Dollar index. Meanwhile, the yellow trend line is more important than the white one. The yellow trend line has held the price since 1984 which is a very long term trend line. Yes, the price has already broken out of this trend line since 2014 with a huge volume that has confirmed the bullish structure. But, At current break out structure, I haven't seen any sign of retesting the yellow trend line as the support because of prior break out (phase 2 of break out strategy). I don't believe that the price will continue its uptrend with a break out of current resistance trend line at white. I do believe that the price will try to retest the yellow support trend line or around 88 - 73 level of support.
So, be aware of current condition of US Dollar. We can see 1 more push higher to around $100 level and after that, huge drop is imminent. we will see a potential of 5 years (or more) recession of the global market.
