It’s not “my indicators”. I was merely asking a question if you, or anyone, believes that the U.S. Dollar is truly “strong” after the United States’ falling GDP, trillions in BRRR money printing backed by debt, and the coming problem of inflation. What is backing the “strength” of the Dollar?
Okay well I'm speculating it based on what I'm seeing with the currency movement. The US dollar pairs for last week and week before did well in the pairs. For against the EU and GBP where it is paired as counter currency, it was seen to be pulling the base currencies down and also for pairs as base currency to CAD,CHF, it was strengthened up. Maybe that could be temporal though. Never take out sentiment in trading.
But for printing cash and its effect on inflation, the US can control that.
Just because USD could pair stronger or weaker against other currencies doesn't mean that it is doing better, or it became stronger, it could mean that or it could mean that other currencies got even weaker. So, let's say there is this X item you could buy for 100 dollars and 100 euroes in a world where euro and dollar is 1 to 1 equals.
Because of inflation that product becomes 150 dollars but 200 euroes, just because it went up 100% for euro and only 50% for dollars does that mean that Dollar is stronger? No because it lost 50% anyway so it is weaker, it is stronger than euro but weaker compared to what it was. That's what people are saying right now, they do not care about other currencies, we think (and I agree) that dollar is weaker, it is not stronger, not after what happened in the last 1 year with trillions of dollars printed to make it go down in value.