BRICS / US Digital Currency...Downfall of the US$?

It's been many years since I last posted on this forum. I stopped because I was trying get some EA's I had programmed to work but did not meet my expectations, and also because of the stories I read of some brokers cheating customers out of their money. I don't know if that's changed since then.

I am considering opening up a forex account to potentially profit from the downfall of the US$ due to the many news stories of the BRICS countries banding together to overthrow it as the world's reserve currency and also because of the Fed's plans to implement a digital currency.

All the currencies of the BRICS countries have the US$ as the base of their currency pairs, so can the pairs be shorted, and if so, are losses limited to the amount invested, and what are average margin requirements?

I am leaning towards trading the forex market because of higher leverage than buying inverse US$ ETF's in my stock account.

Anyone else's outlook on the US$ the same as mine, and if so, what strategies being used?

Where have you read about digital $ by FED?

The Fed - Is FedNow replacing cash? Is it a central bank digital currency? (federalreserve.gov)

If USD downfalls due to BRICS, it won't happen overnight, if ever at all. It'll be a rather long taking process, then flash crash.

I believe it to be easy to understand, that whoever stands as the conservative in this case will be the winner.

Since both sides are pushing for CBDC, it proably will destabilize the world since neither the people nor the companies sees regulations and working for nothing without securities as a viable option.
https://winepressnews.com/2023/02/07...al-currencies/

So it's more of stalemate, where a 3rd party country could be a real winner. Whoever goes against this consensus can emerge as a new economic center of the world, or a more trustable banking nation than Switzerland - since it recently lost it's credibility after the government sold Credit Suisse for pennies after changing the law over the weekend.

Japan could be the outlier, it got stability set up in every way. The only nation of the west who didnt raise interest rates yet.
Other nations that could compete on being the outlier is Malaysia, Egypt, Ecuador and Iceland.

I've been talking about CBDC ever since the invasion of Ukraine by Russia, good that the news are catching up to it too: https://en.protothema.gr/revealed-ce...-says-lagarde/

Gold prices spiking are the symptom of this hidden agenda.

So an strategy for you is too look at these outliers, find those who go against totalitarism and fairytale electronic money.
I'm sure gold will keep reacting heavily every time they take another step, silver too. The japanese yen has alot of expectations too it, it would either skyrocket from a modest interest rate increase, or a renounciation/abandonement of CBDC.

Also physical goods of all kinds people will be stocking up on, anything they will think to use as a currency in the future will be sold at ever increasing rates as more people will be aware of CBDC. Typical herd behavior will emerge, so the stocking up of goods as currencies will not follow a logical pattern.
For example in Argentina, the people had the problem of intrusive state control for a long time, and there they stocked up on bricks to later be sold for housebuilding.

In the West i think it will be influenced by popular culture, so people will buy tradeable goods such as guns, drugs, cigarettes, preppingfood, luxury goods in form of cars and motorcycles, green energy, green energy components(rare earth metals..), medicine, etc.
So commodity prices will rise again.

The foreign exchange market will have to undergo an restructuring as more companies risk have their assets confiscated by the state or government, right now we see this worry among banks throughout the world who are terrified by the hostile takeover of Credit Suisse, and the other banks who one month ago passed every stress test available. These were sound banks who followed rules and regulations, and only failed cause of state intervention and monetary policy.

So the FX market will not follow any established trend, and ignore alot of seasonality. There could be alot of volatility and also alot of sideways movement since there really isn't any alternative for investors to choose from. Shorting the dollar can be a good bet, and pair it with the currency that is an expected outlier.

Please do share your opinions. This is unknown territory and we don't know which rules will be the new ones in the future.
Most of what i write is speculation and opinion of course.

wont happen in your life time dont worry...

From my perspective, it depends on whether you are a dumb speculator or someone who sees doing real research as part of your approach.

I would NOT start in all the "usual places" as this is a subject that goes over the heads of most people on this planet.

I would start here ....

https://www.bis.org/

Re: this site ... Get to know the underbelly layerings of your "society". Get to know beyond silly puff pieces and conspiracy "talk". You're facing a hardhead subject so time to get serious. You have a commensurate exchange happening right now from US to China. And from China to the underbelly. If you are one of those people who "believe" it's just all about money, power, land and resources etc ... I'd quit while you're ahead ... your mind will have trouble processing all the connectors.

As others say, you can trade the obvious staged placements or, look further.

The rules are, as they've always been ........ possession, monopoly, unchecked activity via the general public. A competition needs two contenders.

I suggest you do all your homework and go from there. You'll need forward thinking not yesterday's news..... hence the research.


Peter