Exploring the "Condor" : A Look at the Chinese Yuan Futures In the realm of option trading, the term "Condor" refers not to a bird of prey, but to an intricate options strategy known for its non-directional nature. This strategy, aptly named after the wide-winged condor, involves positioning four options at once, aiming to profit from low volatility in the...
A downtrend has formed on USD/CNH since it failed to retest the 2022 high in September. Since then, a lower high, aggressive selloff and a bearish continuation pattern (rising wedge) has formed on the daily chart. The rising wedge projects a downside target towards the cycle lows ~7.1. If the yuan continues to depreciated (lower USD/CNH), it could prompt other...
PEPPERSTONE:USDCNH Oh, I cannot contain my excitement for this year's Chinese New Year of "Dragon"! 🐉 I mean, who wouldn't be absolutely thrilled to experience the exact same joyous celebrations as last year? And guess what? The depreciation trend of CNY? Oh, it's not going to miraculously reverse itself, not a chance! It's almost as if the Chinese...
Good morning. We have reached the entry point for USDCHN. We invested LONG, as in the graph.
It’s a central bank bonanza this week, where a good number of these meetings are ‘live’, and where we should see further tightening. The Fed meeting is not a live one (they won't raise rates), but it will get central focus, as it always does. While swaps markets for a number of counties price a hike this week, and a risk of another in November, residual slowing...
USD/CNH remains in a soliud uptrend on the daily chart and, after consolidating around the June highs and forming a bullish hammer at 7.25, the swing low appears to be in. A bullish range expansion day broke the bearish resistance line, and bulls could seek to enter upon any pullbacks towards yesterday’s low for a tigher long entry. The bias remians bullish above...
USD/CNH Extends Gains Amid Firmer US Dollar and Geopolitical Tensions The USD/CNH currency pair has been making significant strides, extending its gains for the fifth consecutive day during the Asian session on Friday. Trading around 7.3530, the pair is now approaching the resistance confluence at 7.3590. Simultaneously, the onshore Yuan (CNY) has reached a...
USD/CNH remains within an established uptrend on the daily chart, and the US02Y-CN02Y spread has reached a new cycle high to suggest upside pressure could be building on USD/CNH. Prices have retraced and are now trying to build a base around the June highs. Bulls could seek dips around the cycle lows with a stop below 7.25 in anticipation of a move to 7.35, the...
We have a huge Void below us and the Yuan has Rallied away from this Void before, but it appears to now be making a Lower High with Hidden Bearish Divergence on Both the RSI and MACD; If the Yuan Breaks Below the B point of this Potential Crab BAMM which also happens to be The Confirmation Line of what would then also be a 3 Falling Peaks Pattern, we will very...
Hey Traders, in tomorrow's trading session we are monitoring USDCNH for a buying opportunity around 7.21600 zone, USDCNH is trading in an uptrend and currently is in a correction phase in which it is approaching the trend at 7.21600 support zone. Trade safe, Joe.
The most recent Caixin Manufacturing PMI dipped below 50, landing back in contraction territory after two prints above the 50-mark. As the world's top exporter, China is acutely sensitive to fluctuations in both exports and manufacturing numbers. Historically, we've seen periods of Yuan devaluation during times of contracting Manufacturing PMI and exports as...
USDCNH is still trading within the ascending channel, which validates the uptrend. It is possible that the price will break below, for as long as it holds, expect a short term rally.
The Chinese yuan, also known as RMB, is the official currency of China. It is used both onshore in mainland China and offshore in international markets. The offshore yuan, also known as the CNH (Chinese yuan - Hong Kong), is the version of the yuan that is traded outside of mainland China. It is traded in offshore financial centers, such as Hong Kong, Singapore,...
This is a summary of Michael Pettis' 'Can China’s Long-Term Growth Rate Exceed 2–3 Percent?' carnegieendowment.org As the text was quite long, this summarizes some critical points. China's high investment share of GDP and growing debt burden are interrelated, stemming from an investment-driven growth model that began in the 1980s when the country needed...
the instrument has reached resistance. The price will drop to the specified support level. After that, the formation of a consolidation in the form of a triangle will begin.
Yield differentials between the US and China 2-year treasury note continue to suggest USD/CNH could be oversold, at least over the near-term. The daily close chart (above in black) also better shows the potential for a higher low, as part of a countertrend move. The daily candlestick chart shows a recent pullback has failed to retest the 6.6976 low, and yesterday...
Despite nice drop on USDCNH since start of the year, we have seen silver mostly trading sideways. However, sooner or later correlated moves will be back, possibly after wave four rally n USDCNH. Nice resistance is near 6.84. Based on timing, next week should be important for a potential further weakness, when China fully reopens after holidays. Plus, its going to...
Please 1st of all click the boost 🚀 button if you want me to post more ideas and follow me to support my work! It's absolutely for free. After a long run up... the USDCNH probably found the top for a while. Price formed Head and Shoulders 🤷and broke the Uptrendline and then also the Neckline @ 7.01, backtested it and got rejected. Also there is bear flag in...