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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: TobagoJack who wrote (53781)8/20/2009 6:22:06 AM
From: Haim R. Branisteanu  Read Replies (3) | Respond to of 220125
 
To All;
This morning I placed the following range trade on the EUR / USD pair

Sell March 22 Strike 1.53 EUR/USD CALL:: for 205 pips ($2,050 per 100,000 EUR)

Sell March 22 Strike 1.33 EUR/USD PUT for 204 pips ($2,050 per 100,000 EUR)

Credit proceeds from selling the options $ 4000 per 100,000 EUR is sold at the same time.

This morning Implied Volatility 13.5%

Daily depreciation (Theta) $20 per 100,000 EUR)

Delta –about 12,500 EUR

Vega - $173

Profitable range 1.31 EUR/USD trough 1.55 EUR/USD


Reasoning;

IMHO the adequate range for the EU is and EUR/USD exchange rate around 1.40 to 142 at present time

An exchange rate above the 1.42 range would make EU exports expensive and in a deflationary environment the ECB will need to lower rates.

On the other hand the US is also interested n a weaker USD to jumpstart it’s economy and generate more jobs and therefore the low interest rate policy of the FED will stay in place until early 2010

Unemployment rate will be not improving in the US and stay around this level for a prolonged period of time. Even if the new unemployment numbers will show improvement it will not translate into substantial new job creations.

Similar situation related to employment will prevail also in Europe .

This tag of war of competitive depreciation of the US and EU would hold IMHO the exchange rate in the above mentioned range.

Many predict that the USD has bottomed and would rally, and on the other hand entities like PIMCO anticipate further weakening of the USD and vanishing status of reserve currency.

Even after those assumptions it does not mean that over the 6 months of the life of the contracts positions should not be adjusted

BWDIK

Best of luck

Haim




To: TobagoJack who wrote (53781)8/20/2009 2:16:20 PM
From: Maurice Winn1 Recommendation  Read Replies (1) | Respond to of 220125
 
Having experienced a wide range of human condition, from sky scraper multi-national corporate denizen to ditch-digging mud-dwelling manual labourer and lots of other jobs and places, the most natural human state is "Troppo".

Donald Duck discovered that several decades ago, basking in Troppo idyll having escaped the industrial revolution. But things went awry.

In reality those happy go lucky Maoris, Hawaiians, Fijians and others were murderous cannibals living nasty, brutish and short lives with women having far more children than the geography could contain, necessitating culling by one vicious means or another callous cruelty, normally involving adult male tribal conflict followed by celebratory dinners.

Examining African population age distributions from 20 years ago, it was obvious that across African countries, the huge population boom was going to end in Malthusian tears. So far, other than a few nasty places such as Rwanda, there hasn't been large scale culling, though AIDS has done some ravaging.

Perhaps China's cash flow and colonial political input will counterbalance the otherwise inevitable problems. The gap between the British leaving and Chinese arriving has not been happy. 200 million Chinese armed with cash and commerce should improve things. ElM and Huawei are off to a good start, preparing the ground for CDMA/OFDM-A to perform miracles.

Globalstar has a Nigerian gateway underway, and even the South African one might one day fire up. One could attach itself to ElM's and Huawei's fibre. Huawei might like to install one while they are there.

The key to a successful Troppo life is population control and access to cyberspace. Africa might yet become Troppo central = especially if there is reglaciation in Europe/Asia. It must be a pretty good place for humans since that was the world HQ for humans for 100,000 years. Some melanin adjustments would be a good idea for some of us whose ancestors spent too many millennia in the high latitudes. I'm already genetically endowed with some malarial resistance. Photovoltaic powered air conditioning with good insulation might be nice at times.

Mqurice

PS: Captain Cook was taking a chance, touring the Pacific Ocean teaching English to the local cannibals. "Hi, I'm Captain Cook". "Hmmm, now that you mention it, I am hungry". He ran out of luck in the Troppo idyll of Hawaii.



To: TobagoJack who wrote (53781)8/20/2009 4:24:27 PM
From: elmatador  Read Replies (1) | Respond to of 220125
 
Experiment school director called. Wife trembled. One girl has already been found drunk with Amarula. Wife braced since school never calls.

MSN is completing 20 years and 'Gazeta do Povo' (Curitia newspaper) is making a piece on that and want to go to the school to talk with the kids.

The newspaper wants to know what the kids do different with MSN or just talk BS.

Experiment is considered the best Portuguese student, in text and analysis, etc.

She said she uses MSN for literature, talk with students the world over, even some that study in very poor schools, but they know a lot about books, she 'talks' in Portuguese and English in MSN... Is the student who most read in the school.
Teacher choose her to go talk with the newspaper.

(It is a private school and the school wants to show the best they can produce on those opportunities)

I am not calling to congratulate her else she asks me for an iPHONE.