Macrobriefing

Next BTCUSD buy Zone I am going to assume that the US dollar is increasing in value until we get to the debt ceiling decision. I am expecting a move up to and perhaps beyond the $103-$104 area. If this happens I have to assume that the BTCUSD will come tumbling down into my next buy zone. If we don't take out the next weekly level, this will be a great buying opportunity. But some sort of confirmation will be needed.Comment: DXY areas of opportunity within the larger range

GBPJPY continued weakness Following on from the EURJPY short this morning I am now looking for a sustained move lower in the pound. The USDJPY is coiling around the weekly open, so we may have to wait for this to break out too.

USDJPY #2 Short Looking for continued weakness in the USDJPY as the DXY comes off its highs. The GBPJPY reversed and then followed through to the downside and so we could get a continuation here too The EURJPY did the same but with no follow through so this was the only loser yesterday. The strategy doesn't do as well on a Wednesday as it usually does on Monday and Tuesday. However, we get ADP and FOMC so I am expecting some volatility in the afternoon session before things shut down ahead of the Fed.

USDCAD short on CAD GDP data? Now that we have had the data from the BoJ, I am focusing on the news that is coming out later today. At 1:30pm my time we receive the Canadian GDP m/m, which is expected to come in at 0.2% and down from the previous reading of 0.5%. So anything stringer and the CAD will strengthen. Then we also have the US Core PCE Price Index m/m which is expected to come in unchanged at 0.3%. The Fed looks at this data to help make decisions on whether to change the policy rate or not. Oil has some imbalances above that it could go back and retest in the near future. Higher oil price is always good for the Canadian dollar. The US dollar index still looks weak in the higher time frames. With the US dollar strengthening against the yen, this is weakening the yen. Which makes it more expensive for the Japanese to buy oil. This will help push inflationary pressures onto the Japanese economy. There is also a chance then that Japan buys less oil and the price of oil comes lower.

US Dollar looks bearish still After examining the Weekly chart for the DXY, it appears to me that the dollar flow is likely to continue downward for some time. Today's Advance GDP q/q reading is expected to be 2.0%, following the disappointing last reading of 2.6%. Additionally, the US Unemployment Claims are anticipated to be higher, at around 247K. In my recent blog posts, I discuss the current tax drain in the US, which is an annual occurrence that typically results in assets such as the S&P decreasing in value. However, this year is different as we have reached the debt ceiling, and there is a possibility that things could become precarious if the spending limits are not raised. While there is certainly uncertainty in the US political process, some financial media outlets and fintwit users are discussing the possibility of recessions and de-dollarization. While I agree that there is a flight from the greenback, this trend could easily reverse if a political resolution is reached. For each of the yen crosses that I have been following I'll wait to see where they are at when we get the news. I am not looking for trades before then. Here are the levels I expect us to touch at some point in the near future. USDJPY GBPJPY EURJPY