WHAT MIGHT BE THE REASON OF A SUDDEN STRONG $DXY ?

Technical

it could be interpreted of a potential MarkDown¹ and a potential pull back on the top of this channel.
109 will be highly likely ! According to call it above 0.618 of the initial MarkUp² (103)…

Fundamentals

Economic Data Releases > such as positive GDP³ growth, low unemployment rates, or higher-than-expected inflation, can boost confidence in the U.S. economy and attract investors to the U.S. dollar.
Interest Rates > Fed raised interest rates or hints at a more aggressive monetary policy stance, it could increase the attractiveness of the $DXY⁴ as higher interest rates can provide higher returns on dollar-denominated investments.
Safe-Haven Demand > $DXY is often considered an actual safe-haven currency during times of global economic uncertainty or geopolitical tensions (BRICS⁵, even if they are talking about, they did not setup anything yet that might trigger any potential collapse. MM⁶ may flock to the dollar in search of stability and safety.
Relative Economic Performance > If the U.S. economy outperforms other major economies, it can lead to an appreciation of the dollar relative to other currencies.
Market Sentiment > Currency markets can be influenced by MM sentiment, and sudden moves in the $DXY can be triggered by changes in market perceptions or risk appetite.
Capital Flows > whether due to investments, trade balances, or other factors, it could impact the strength of the dollar.

If this scenario failed and we make a clear pull back below 100 (103 rejected), it could confirm the UpThrust⁷ done, and the reintegration of the initial fork could mark a signifient end of the hegemony of the dollar. otherwiase, as Serguey LAVROV predicated it > definitive dedollarization !

Definitions

1. Market Down direction channel ↩︎
2. Market Up direction channel ↩︎
3. Gross Domestic Product ↩︎
4. US Dollar Index ↩︎
5. abbreviation for (Brasil, Russia, India, China, South Africa) ↩︎
6. Market Makers ↩︎
7. Wyckoff methodology ↩︎