Eurousd
$EUR/USD - The Dollar and DeflationThe Dollar and Deflation
Elliott waves in FX might be anticipating deflation.
Demand for U.S. dollars has surged over the past couple of weeks as the economic and financial sanctions on Russia cause all sorts of ramifications . Essentially, taking out an active chunk of the day-to-day global capital markets reduces financial transactions and makes the availability of U.S. dollars a little scarcer.
For example, according to estimates by Credit Suisse , Russia holds about $300 billion in short-term money market instruments, $200 billion in FX swaps and another $100 billion through public and private deposits. Freezing this means that it cannot be used to grease the wheels of the money markets as it usually would. The cost of funding transactions in U.S. dollars has risen.
However, demand for U.S. dollars also rises when sentiment is becoming more cautious and negative . Most of the planet’s debt is denominated in, or linked to, U.S. dollars. When people get nervous , they want to ensure that they have dollars to either service that debt or pay it back. In the coming debt deflation, expect demand for U.S. dollars to go through the roof.
Ah, but then there’s the Fed.
Since the Great Financial Crisis of 2008, whenever demand for U.S. dollars has surged, the Federal Reserve has utilized so-called “ swap lines ” with other central banks around the world in order to ensure that there is an ample supply of U.S. dollars to meet everyone’s needs. This has tended to coincide with a period of U.S. dollar strength in the foreign exchange (FX) market, which then subsequently turned into weakness.
The current Elliott wave structure in the chart of EUR/USD suggests that the current period of U.S. dollar strength could be close to ending. Could this coincide with the Fed re-opening and perhaps extending its swap lines in order to ease the demand for U.S. dollar funding? Perhaps.
If so, we can anticipate that sentiment will become more negative in the short-term to trigger the Fed to act. Dollar weakness will not come about because the Fed extended swap lines. Rather, the socionomic way to think about it is that dollar strength (often associated with a deflation lurch) will cause the Fed to act.
💵Euro/U.S.Dollar💵Analyze !!!Euro moved in Descending Channel more than one year, and these days we saw that the Euro was able to break lower line of Descending Channel , from my idea, this break can be a fake-out and Euro will back again to its channel.
I have some reasons for this fake-out : Euro is at my TRZ (Tiem Reversal Zone) + Junction between 61.8% Fibonacci line of Pitchfork and 25% Fibonacci line of Pitchfan + Cluster of Fibonacci ( PRZ (Price Reversal Zone)) + Also we can see support zone and an Important Support Line under the current price of Euro .
🔅 Euro can go UP from the Current Price at least until the lower line of Descending Channel , and in the next step can touch the middle line of the Pitchfork .
🔅 Euro/U.S.Dollar Analyze ( EURUSD ) Timeframe 4h ⏰
🟢 Price Reversal Zone ( PRZ ): 1.0907$ until 1.0894$ =Cluster of Fibs
🟢 Support Zone : 1.0776$ until 1.0725$
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eurousd monthly shark pattern hi . i think the price is forming a bullish shark pattern in monthly time frame
you can search about this pattern in google
Fibonacci point 0.886 is in line with the long-term price trend line
I expect this point to stop the price from falling
This is just a theory
And it is not an investment offer
EURUSD | +400 pips Bullish Wave Expected..!!
#EURUSD (Update)
In daily timeframe Chart, Still Moving Below the Descending Trendline & Crucial Horizontal resistance 📉
At the moment, Bulls once again Heading towards the Key horizontal Resistance (1.1380)
If Horizontal & Trendline Resistance Respectively Got Cleared, expecting +400 pips Bullish Impulse in Coming days. 📈
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$EURUSD - Possible rebound hereHi guys! 👋🏻
🔔 Possible uptrend continuation of #EURUSD here after a retest of the dynamic resistance as support.
🔔 The pair has also made a breakout from a critical dynamic resistance and has tested it as support several times, I believe it is also a good sign of a short-term uptrend for #Euro
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2 Possible moves for EURUSD pair - SHORT then LONGWe can see EURUSD trading in a channel range on the bigger timeframe of Weekly.
Currently we see the pair ranging in a local area of 1.119 to 1.138 after dumping down.
The MACD is still strongly trending down, not yet showing clear sign of reversal in momentum.
1. SHORT TRADE :
We can look to SHORT the retest of the neckline it has broken down from, 1.15.
Target the bottom of the channel around 1.1035
SL above the 3 EMA 50, 100, 200
2. LONG TRADE :
We can look to catch a LONG from the support zone confluent with bottom of channel line at 1.098
Target top of channel but TP along the way.
SL below channel support line
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