Markets After the Panic: Recovery or Just a Pause?
DXY strength, S&P 500 resilience, Gold cooling down, and why Crypto still isn’t a real "market" on its own.
Today’s Market Overview
A lot of panic flowed through the markets recently, but if you zoom out, the bigger picture looks much more organised than the headlines would have you believe. Here’s what I'm seeing across the key assets today:
DXY (US Dollar Index)
The DXY has been showing weakness lately, but I believe it’s only a matter of time before we see a return toward the 106 level:
If you're trading major pairs, it’s critical to keep this in mind:
- Pairs ending in USD (EURUSD, GBPUSD, etc.) are likely bearish from a weekly chart perspective.
- Any short-term noise aside, the dollar still holds the structural advantage on the bigger timeframes.
DXY remains the centre of gravity for most of the market moves we're seeing now.
S&P 500
History feels like it’s repeating itself.
After the recent wave of panic, the S&P 500 bounced cleanly off the 4900 support level, the same key area from April 2024:
The recovery was sharp, direct, and came exactly where technicals suggested it should. Now the big question: is this bounce the beginning of a new leg toward 6000?
The structure suggests strength, but we need confirmation over the next few sessions.
Gold (XAUUSD)
Gold has been on an incredible run, but every move needs to breathe.
Right now, I see healthy retracement zones around 3210, 3030, and 2800–2900:
If price respects any of those levels, the long-term trend remains intact.
Gold isn’t crashing, it's just likely taking the pause it earned after months of relentless upside.
Bitcoin (BTCUSD) and NASDAQ
This one deserves special mention.
Bitcoin continues to move almost point-for-point with the NASDAQ.
I've said it before and I'll keep repeating it:
There is no independent "crypto market."
Crypto simply reflects broader risk sentiment, especially tied to tech stocks:
Technically, BTCUSD found bullish momentum right above the 50% Fibonacci retracement on the daily chart, a textbook reaction after the recent correction:
But fundamentally? Crypto remains tied to macro risk. Anyone telling you otherwise isn’t paying attention to how these assets actually behave.
Final thoughts
Panic always looks huge when you're inside of it.
Zoom out, and the big players are moving with precision.
Stay focused. Stick to the levels.
The market is doing exactly what it’s supposed to, whether people want to see it or not.