Technical Analysis:
Fibonacci Levels: My analysis meticulously places Fibonacci retracement and extension levels on the chart, highlighting potential support zones that reinforce the bullish bias.
MACD Divergence: Vigilance for MACD divergence patterns remains paramount. supports the bullish bias.
Technical Conditions:
Take-Profit Levels (TPs): To maximize potential gains from the bullish bias, consider the following TP levels:
1st TP: 105.15
2nd TP: 105.69
incase of rally start from the 38.25% of minor Fibonacci level (105.053) then we can expect the
3rd TP: 106.00 directly
Trading Scenario:
Bullish Bias: There's a high likelihood of a market rally towards higher levels. The current price resides at a major Fibonacci support level of 38.2% of the past weekly cycle. A breakout above this level is anticipated to propel the price towards the defined targets of 105.15, 105.69, and 106.00.
Fibonacci Levels: My analysis meticulously places Fibonacci retracement and extension levels on the chart, highlighting potential support zones that reinforce the bullish bias.
MACD Divergence: Vigilance for MACD divergence patterns remains paramount. supports the bullish bias.
Technical Conditions:
Take-Profit Levels (TPs): To maximize potential gains from the bullish bias, consider the following TP levels:
1st TP: 105.15
2nd TP: 105.69
incase of rally start from the 38.25% of minor Fibonacci level (105.053) then we can expect the
3rd TP: 106.00 directly
Trading Scenario:
Bullish Bias: There's a high likelihood of a market rally towards higher levels. The current price resides at a major Fibonacci support level of 38.2% of the past weekly cycle. A breakout above this level is anticipated to propel the price towards the defined targets of 105.15, 105.69, and 106.00.
Trade closed: target reached:
1 and 2 TP Achieved
Trade active:
3 TP is on the Progress
Trade closed: target reached:
All 3 Targets Achieved
Overview:
The upcoming Federal Open Market Committee (FOMC) meeting scheduled for September 20, 2023, holds paramount significance for financial markets worldwide. One of the focal points of this event centers on the potential decision regarding an interest rate increase by the U.S. Federal Reserve.
Interest Rate Decision:
Market participants are on high alert for any indication of an interest rate hike during the meeting. The Federal Reserve's decision regarding interest rates carries profound implications for the U.S. economy and global financial markets. If an interest rate increase is announced, it signifies the central bank's response to various economic factors, including inflation, employment levels, and overall economic stability.
Impact on the U.S. Dollar (DXY):
An interest rate hike typically exerts upward pressure on the U.S. Dollar (USD). Consequently, this may lead to a strengthening of the U.S. Dollar Index (DXY), which measures the USD's performance against a basket of major world currencies. A stronger USD can have implications for global trade, foreign exchange markets, and various asset classes.
Effect on Cryptocurrencies:
In the realm of cryptocurrencies, a stronger USD historically correlates with downward pressure on digital asset prices. A robust USD can make it relatively more expensive for foreign investors to enter the cryptocurrency market, leading to decreased demand. However, it's essential to consider that cryptocurrency markets are influenced by multifaceted factors, including market sentiment, regulatory developments, and macroeconomic trends.
Conclusion:
The FOMC meeting on September 20, 2023, serves as a critical event for investors and traders across traditional and digital asset markets. Beyond the immediate reaction to interest rate decisions, it is vital to monitor the Federal Reserve's statements and outlook for insights into future monetary policy. The interplay between monetary policy, economic fundamentals, and market sentiment will shape the dynamics of financial markets in the days and weeks following this pivotal event.