Hello friends. Our previous idea about the dollar sort of played out at first, but ultimately was proven wrong by the market. Now we have zoomed out even further, to the ultra macro chart, and it seems clear that the dollar is headed for an absolute collapse which may take until 2030 to complete, or even longer.
Another thing to note is that during the previous collapses in the price of the dollar, the US stock market usually had very choppy and corrective price action, and didn't really go anywhere. Don't expect a new high for US stocks just because the US dollar may crash.
Dollars are not a safe place to hide anymore, so our plan is to get rid of 90% of our exposure to the dollar, and put that money into recession-resistant stocks with very attractive P/E ratios. So far we have picked out the tickers: HIMX, and IMBBY, but we are looking for a few more so that we can have a diverse and well protected portfolio that will weather the storm ahead.
Thanks for playing.
Another thing to note is that during the previous collapses in the price of the dollar, the US stock market usually had very choppy and corrective price action, and didn't really go anywhere. Don't expect a new high for US stocks just because the US dollar may crash.
Dollars are not a safe place to hide anymore, so our plan is to get rid of 90% of our exposure to the dollar, and put that money into recession-resistant stocks with very attractive P/E ratios. So far we have picked out the tickers: HIMX, and IMBBY, but we are looking for a few more so that we can have a diverse and well protected portfolio that will weather the storm ahead.
Thanks for playing.
Comment:
Another great way to trade this is to buy a long Euro ETF, since the DXY is mostly just an inverse of the price of the Euro against the dollar. DXY down = Euro up.