In Weekly EM markets, only a few currencies are worthy to trade. A few equates to 5 and 7? currencies. And the same EM currencies weekly appears as a common them. CNY For example ran strong this week Vs USD, NZD, GBP and CAD. CZK also ran strong.
Weekly at least 1 currency of the 7 majors is worthy to trade the entire category with an established direction, entry and target. CAD/EM short this week across the board was this week’s 1 currency of the 7 majors then GBP and NZD.
Note the same currencies as for example, NZD/CNY, GBP/CNY and CAD/CNY.
Is USD really an opposite currency to trade against non USD. Note EUR/USD vs USD/CAD and the wide difference to prices. This wide division must close. Pre 2016, currency prices were uniform but after 2016’s interest rate changes, Currency prices became individualized.
When USD/CAD shot to 1.2800’s, EUR/USD didn’t move. When USD/CAD spiked lower last week to achieve 1.2629 target, EUR/USD didn’t move. Simultaneous long and longs or shorts and short to USD and non USD works post 2016.
NZD/CNY, GBP/CNY and CAD/CNY all achieved targets yesterday and in the same day.
Trade Results in order as posted Sunday.
NZD
NZD/CNY Target 4.5026, highs 4.5019 from 4.4740. +279 pips.
NZD/MYR target 2.9177, highs 2.9151. From 2.9006. +151 pips.
NZD/NOK open.
GBP
GBP/CNY target 8.7526, achieved from 8.7326. + 200 pips.
GBP/CZK target 29.6079, achieved from 29.5785. +294 pips.
GBP/MYR open and running profits.
CAD
CAD/DKK open and running profits.
CAD/HUF target 241.41, lows 241.93, from 243.72. +175 pips.
CAD/PLN target 3.1067, Lows 3.1097, from 3.1233, + 140 pips.
CAD/RON open and running profits.
6 trades complete, 1 day +1239 pips.
As usual no charts, graphs, fibs, stops. Trades achieved by pen, paper and calculator.
Brian Twomey
BRIAN TWOMEY ON TRADING 