quixilver

DXY vs Inflation expectations

Long
QUANDL:FRED/T10YIE   FRED/T10YIE
Inflation expectations are negatively correlated with the value of US Dollar. This chart gives you two potential trade signals
1 - If there is big divergence btw DXY and Inflation expectations, you can bet on a reversion
2 - When RSI is overbought or oversold, you can trade bonds and USD for a correction

Current signal is a moderate short USD or long TLT
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