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


To: Haim R. Branisteanu who wrote (92540)7/16/2012 5:19:13 AM
From: Haim R. Branisteanu  Read Replies (1) | Respond to of 217774
 
A fundamental trade I placed today as a trial balloon in a new investment direction.

Buy CAD sell JPY 6 month forward at 77.49 - reasoning if China slows down, then so will be the JPY much faster than commodity oriented CAD.

If China stabilize or recover then so will AUD and CAD appreciate. Keeping in mind that Japan Debt to GDP is 200% this will also affect the JPY as next the speculators need to find another victim.

Now as I am not always right and the position may trade water during the six months I wrote a matching CAD/JPY 79 strike Call receiving $186,000 Yen

Strategy is as follow - summer months no one knows direction, by September things will crystalize the call will depreciate enough to buy it back and decide what to do.