Is the FED supporting the value of the USD?

2021年8月19日

Yesterday the minutes signaling the intention of tapering the bond purchases this year. As usual and with the increasing debt, the major American indices like the S&P500 closed negative yesterday, after reaching the attractor showed in our free forecast. The EURUSD, highly correlated with the dollar index, is also inside the attractor (blue area) where a 3 waves structure can get exhausted completing the correction to the motive wave started at 1.0637 and topping in 1.2349. Our dashboard shows a bearish predominance with the speed getting closer to 0 and decreasing volatility in the ATR. The Divergency Cloud indicator called out correctly the major movements in the sequence, marked with the green and red triangles.