Elliott Wave Live: Bitcoin Is At Support As DXY Trades Into Resistance

Sep 19, 2023

In our free elliott wave webinar you can check some of interesting analysis with important key points below.

Best regards,
Grega

Some important market key points:

Federal Reserve (Fed) and the USD

• The Fed is expected to maintain its current interest rate of 5.5% with no changes anticipated.
• The Fed will likely focus on economic data and forecasts rather than increasing rates.
• Even if the Fed adopts a hawkish stance, market reactions may still be influenced by the “buy the rumor, sell the news” phenomenon.
• The U.S. Dollar Index (DXY) has increased by 6% from its summer lows, partly driven by higher energy prices, which could support a hawkish Fed stance.
• Higher energy prices can lead to higher inflation, which, in turn, can drive up yields and the value of the USD.

EURUSD and the ECB

• The European Central Bank (ECB) has raised rates to 4.5%, and CPI is at 5.3%
• Market outlook for EUR/USD appears to be flat or ongoing an a-b-c pattern.

GBPUSD and the BOE

• The Bank of England (BoE) is expected to increase rates from 5.25% to 5.5% on September 21.
• CPI is expected to rise to 7.1% on September 20.

USD/JPY:

• No significant shifts are expected from the Bank of Japan (BoJ) meeting.
• BoJ plans for a quiet exit from yield curve control and intervention if USD/JPY nears 150.

AUD/USD + USD/CNH:

• The Reserve Bank of Australia (RBA) may release meeting minutes, having kept rates on hold for the last three meetings.
• China’s still with economic issues makes aussie weak.

USD/CAD

• CAD is gaining strength due to persistent inflation concerns. 2.8% was reported in July, then up to 3.3% reported in August, and now expectations are 3.8%. So inflation is still here, that’s why CAD is showing some strength I believe, for the last week or so.

EURCAD And GBPCAD Update: Pairs Are Coming Lower Within Projected Higher Degree Corrections CLICK HERE