Betting Against the Dollar Is the New Crowded Trade

Inside the Positioning Trap That Could Trigger the Next Dollar Rally

Betting Against the Dollar Is the New Crowded Trade

We are seeing significant crowding in the dollar positioning that I cover in this video. The implication? Bullish on the dollar until this crowded positioning gets squeezed out.

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Educational Primers on FX:

The 5-Part FX Primer is here:

• Part 1: FX - Resources, The Big Picture, Variables, Aggregating Knowledge, and Essential Tools.

• Part 2: FX - Synthesizing Information from Part 1: Theory, Practice, Causal Mechanics vs. Regression Analysis.

• Part 3: Delving into Historical Case Studies: The Importance of Studying History, Continuity vs. Discontinuity, and the Challenges of Backtesting in FX.

• Part 4: Examining the Current Environment.

• Part 5: Integrating Knowledge: Top-Down and Bottom-Up Analysis, Attribution Analysis, the Expectations vs. Actual Matrix, and Quantitative Models.

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I would strongly encourage you to review the video and primers I laid out here because central banks are critical in understanding the dollar here. I also provided an in-depth report on HOW to connect the proper signals to the moves in the dollar:

As always, a Pepe for the culture:

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