TradingView is giving the US dollar a “sell” recommendation amid a historic drop in the value of the world’s reserve currency.
The platform’s trading indicators use a mix of methods for analysis, including moving averages, oscillators and pivots to forecast where assets may be heading.
Based on the aggregate of technical indicators used by the social trading platform, the U.S. Dollar Index (DXY) has a sell rating on 1-day, 1-week and 1-month timeframes. Moving averages on 1-day, 1-week and 1-month timeframes recommend a “strong sell”.
Meanwhile, TradingView’s technical indicators for Bitcoin (BTC), Ethereum (ETH) and XRP are all flashing buy signals.
At time of writing, the three largest cryptocurrencies by market cap all have a “buy” rating on TradingView’s 1-day, 1-week and 1-month timeframes.
The sell signal for the dollar comes as the greenback threatens to plummet near its lowest level in 27 months. As for its value relative to a basket of foreign currencies, which include the euro, yen, sterling, the Canadian dollar, the Swedish krona and the Swiss franc, the US dollar has weakened by 11% from this year’s peak.
World banking firms Goldman Sachs, UBS and Societe Generale expect more losses for the currency. According to Ulf Lindahl, the chief investment officer of currency manager A.G. Bisset, USD could be down by up to 36% against the euro over the next year.
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