An aggressive decline in DXY is an essential companion of any altseason. A strong dollar always hinders the growth of risk assets. TOTAL2TOTAL3 & OTHERS simply won’t rise without this.
This is one of the very few scenarios where an #altseason becomes possible. If the DXY reaches 109+, it would effectively rule out the chance of an altseason. Both previous altseasons occurred during aggressive drops in the DXY, specifically when it broke below the 200-week moving average (MA200). This marked the peak of the market.
For OTHERS, TOTAL2 and TOTAL3 indices to rise, the DXY must show clear weakness and stay below critical levels.
Bottom is in once we see that number become over 60-70%, means the shakeout is over and the big boys start to cycle back in. But spread FUD so retail becomes bearish