The dollar is wrecking ball through financial markets

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The dollar is wrecking ball through financial markets

The U.S. dollar is a wrecking ball through financial markets, to the point where there is speculation that global authorities may try to stop the dollar's ascent.

On Monday, the euroEURUSD recorded its first indication of possible daily downtrend exhaustion 13 in months, according to a technical analyst Tom DeMark, whose indicators are designed for anticipating turning points and overextended price moves.

DeMark's analysis relies on the number of days that don't have to be consecutive, in which there was a close lower than the close two days ago. When the countdown reaches 13, a buy signal is usually triggered. He said that the DXY DXY is lagging by one count and is currently selling countdown 12 See DeMark's analysis on his website Symbolik.com.

The euro was up to $0.9635 on Tuesday, but has slumped 15% this year.

The euro fell to 0.9650, which is its long-term risk level. He said that there should be a multi-month recovery back to EURUSD 1.20 at a minimum, although there may be additional long term risk to EURUSD 0.80.

DeMark said he was still concerned about the stock market. He said that our indicators continue to flash downside risk. On Monday, the Dow Jones Industrial Average DJIA entered a bear market after falling 20.5% below its Jan. 4 record finish. The S&P 500 SPX has dropped 23% this year.

He has grown more pessimismistic on the BTCUSD than he was in July. He said that the low in June had numerous deficiencies, as bottoms are rarely recorded on weekends and rarely coincident with a series of down days.

He said that the downside price projection from the August high has been revised due to the rally off the June low. The downside is $14,877.

The stock futures ES 00, NQ 00, pointed to a solid advance. The dollar fell, the BTCUSD rallied, and commodities like oil CL. 1, strengthened.

The British pound bounced higher on the GBPUSD and U.K. gilts TMBMKGB 10 Y after two rough sessions following the big tax cuts outlined by Chancellor Kwasi Kwarteng.

Chicago Fed President Charles Evans said that there will be another 100 to 125 basis points of tightening this year. St. Louis Fed President James Bullard and San Francisco Fed President Mary Daly are scheduled to give speeches on Tuesday. Fed Chair Jerome Powell is going to speak about digital finance.

The New York Times had a deep dive into the global implications of the dollar's strength.

The Italian Prime Minister Giorgia Meloni will have to work with Europe on its economy.

Crispin Odey, the star hedge-fund manager and Kwarteng s former employer, believes that the pound will bounce back after a successful bet against the U.K. currency.

Some $1 million was stolen using a vanity-address generator, a security firm said.

Here were the most active stock-market tickers as of 6 a.m. Eastern.

According to the court filing, Ken Paxton, the Texas attorney general, fled home with his wife to avoid a subpoena.

Thousands of cows have been let loose in India because of a lack of promised aid.

The CIA has a museum. The emailed version will be sent at around 7: 30 a.m. Eastern.