BITCOIN ON DAILY is giving a different structure, the breakout of a demand floor and the retest has experienced twice retest from the structure.
FED rate cut ,hold or increase will come as a surprise due to matrix used in the voting and decision making by FOMC members.
FED CAN APPLY THE Taylor Rule if they want to.
The Taylor Rule is a monetary policy guideline developed by economist John B. Taylor in 1992. It provides a formula to help central banks, like the Federal Reserve, determine the optimal short-term interest rate based on economic conditions.
What is the Taylor Rule?
It links the central bank's target interest rate (the federal funds rate in the U.S.) to two key economic factors:
The difference between actual inflation and the central bank's target inflation rate (usually around 2%).
The output gap—the difference between actual economic output (GDP) and the economy's potential output.
The rule suggests that the central bank should raise interest rates when inflation is above target or when the economy is producing above its potential, to cool down inflation and avoid overheating.
Conversely, it advises lowering interest rates when inflation is below target or the economy is underperforming, to stimulate growth.
Why Does It Matter to the Fed in Rate Decisions?
The Taylor Rule provides a systematic, rules-based framework for setting interest rates, enhancing policy predictability and transparency.
It serves as a benchmark for policymakers to assess whether current rates are appropriate, balancing inflation control and economic growth.
The Fed often considers the Taylor Rule when making decisions but does not follow it mechanically, as real-world factors like financial stability and global economic conditions also influence policy.
During periods of deviation from the rule’s recommendation, the Fed may explain why it chose a different path, reflecting discretion and judgment.
The Taylor Rule helps anchor market expectations by providing a reference point for where interest rates "should" be, reducing uncertainty in financial markets.
this points to FED holding federal fund rate at 4.25% to 4.50% for a long time ,despite persistent pressure to lower fund rate like BOE,RBA BOJ ,RBZ have done this year.
if the current price of BTC doesn't see upswing dont complain because smart traders and banks have kept a secret away from public space.
ALLOW FEDS DO THERE JOB,DONT SPECULATE THEM.
#BTC #BITCOIN
FED rate cut ,hold or increase will come as a surprise due to matrix used in the voting and decision making by FOMC members.
FED CAN APPLY THE Taylor Rule if they want to.
The Taylor Rule is a monetary policy guideline developed by economist John B. Taylor in 1992. It provides a formula to help central banks, like the Federal Reserve, determine the optimal short-term interest rate based on economic conditions.
What is the Taylor Rule?
It links the central bank's target interest rate (the federal funds rate in the U.S.) to two key economic factors:
The difference between actual inflation and the central bank's target inflation rate (usually around 2%).
The output gap—the difference between actual economic output (GDP) and the economy's potential output.
The rule suggests that the central bank should raise interest rates when inflation is above target or when the economy is producing above its potential, to cool down inflation and avoid overheating.
Conversely, it advises lowering interest rates when inflation is below target or the economy is underperforming, to stimulate growth.
Why Does It Matter to the Fed in Rate Decisions?
The Taylor Rule provides a systematic, rules-based framework for setting interest rates, enhancing policy predictability and transparency.
It serves as a benchmark for policymakers to assess whether current rates are appropriate, balancing inflation control and economic growth.
The Fed often considers the Taylor Rule when making decisions but does not follow it mechanically, as real-world factors like financial stability and global economic conditions also influence policy.
During periods of deviation from the rule’s recommendation, the Fed may explain why it chose a different path, reflecting discretion and judgment.
The Taylor Rule helps anchor market expectations by providing a reference point for where interest rates "should" be, reducing uncertainty in financial markets.
this points to FED holding federal fund rate at 4.25% to 4.50% for a long time ,despite persistent pressure to lower fund rate like BOE,RBA BOJ ,RBZ have done this year.
if the current price of BTC doesn't see upswing dont complain because smart traders and banks have kept a secret away from public space.
ALLOW FEDS DO THERE JOB,DONT SPECULATE THEM.
#BTC #BITCOIN
Exención de responsabilidad
La información y las publicaciones que ofrecemos, no implican ni constituyen un asesoramiento financiero, ni de inversión, trading o cualquier otro tipo de consejo o recomendación emitida o respaldada por TradingView. Puede obtener información adicional en las Condiciones de uso.
Exención de responsabilidad
La información y las publicaciones que ofrecemos, no implican ni constituyen un asesoramiento financiero, ni de inversión, trading o cualquier otro tipo de consejo o recomendación emitida o respaldada por TradingView. Puede obtener información adicional en las Condiciones de uso.