Shorting the dollar?

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Shorting the dollar?

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And this guy (video below) says the opposite (lolz), namely that other assets like gold and BTC (etc.) will fall as the “Bigs” sell off to cover their bets (shorts) on the dollar. He believes the dollar will rise and they are betting on the dollar falling.  However, the East has an insatiable need for gold.   Who knows?  Anyway, it is not just dollar shorts as there is literally a Quadrillion in derivatives. Frankly it is one big, complex mess, which is how Ponzi schemes always end up.  Gold is one of the few assets that has no counterparty risk and that is key.  It may go down but in the long run (the last 5,000 years) it holds its value. Just ask Tutankhamun.

Shorting the dollar means you are speculating that its value will decrease relative to another currency. To do this, you would sell a US dollar currency pair, such as EUR/USD, with the expectation of buying back the dollars at a lower price later to profit from the difference. This is also known as going short on the dollar, and it’s the opposite of “going long,” which bets on the currency’s value increasing

How it works

  • Betting on a decline: You are betting against the dollar by entering a position to sell it, anticipating its market price will fall.
  • Currency pairs: Currencies are always traded in pairs, like EUR/USD or USD/JPY. When you short the dollar in a pair like EUR/USD, you are selling EUR and buying USD.
  • Profit from the difference: If the dollar weakens as you predicted, you can buy it back at a lower price, pocketing the difference as profit. For example, if you short the EUR/USD pair and the euro weakens, you sell euros and buy dollars. If the euro then weakens, you can buy back euros at a lower price, profiting from the difference between the sale and repurchase prices.
  • Risk: If the dollar strengthens instead of weakening, you will incur a loss

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This is interesting.  A bit like a reverse of the tariff war. Chyna now demanding that exporters comply with all sorts of regulations.