BRLJPY Long BRL and JPY seen as debt ceiling event risk hedgeThe international capital movements continue to be driven by carry trade opportunities.
For hedging the debt ceiling event risk, traders like BRL, CNH, and JPY, where the first two provide the right beta to equities. While BRL provides a carry cushion, it is a bit more overvalued in some of our short-term models than CNH. The upside for CNH is likely viewed as reserve diversification hedge to the USD, especially if policymakers take the negotiations down to the wire.”
The Brazilian Real declined substantially after the minutes of the last meeting of the Brazilian central bank (Banco Central do Brasil, BCB) on Tuesday took a surprisingly more dovish tone than the original statement after the meeting had suggested.
A break below 15.425 is the beginning of the bearish trend, and confirmation that the current bullish trend
a bulltrap was...
Real has moved stabil above 22.60 ,made 2HH and 2HL( 23.718 and 24.801)
A break above 31.402, and 2 consequent closing days above this area delivers the final confirmation,
that the Bullish trend has been maintained.
First Traget is 63,546, as the Bears took control over the bulls on August 2009
The strategy is trend following
bullish
we can position size the pullbacks
The stop shall be put as soon as possible on break even ,if we pass 36,7 successfully.
(See green route!)
BRLJPY
BRLJPY ready to move higherHere we can see the end of a 5 wave pattern to the downside and the AB leg of the ABC correction complete.
So what does this mean?
Well we have still yet to put C in place, so simply we are targeting 35.75 for this corrective process. It's worth engaging in further topside exposure, especially if you are a believer of the bearish Yen story.
Best of luck those who like to play EM, we are in for large moves this year on the EM FX board.
Please remember to like and comment, thanks!
[USDBRL 6% LONG] Reversal + Price Prediction w/ Spectro™ MThis trading strategy is using Spectro™ M
The blue background means a strong reversal zone. That's our first confirmation.
Now we see the Specter Clouds appearing no only telling us that this is too oversold but also it predicts the organic price, so it predicts possible future prices.
I like simple trading, it's a clear uptrend, Brazil is a damn mess right now, trust me I know, I was raised there before moving to the USA.
Plus it's an ascending triangle and the price is close to a support!
There are no Spectro™ M signals or alerts, but hey life isn't all about automation, right?
Entries anywhere near 3.72 and stop-losses anywhere close to the ascending triangle support line.
Profits go from 0.8% all the way up to 6% based on your strategies risk tolerance and exit rules.
Specter Cloud targets are: 3.752, 3.779 and 3.824
Ascending Triangle Target at ATH: 3.93
ATH close to 3.9666(good omen there)
Liked it? Give it a shot at, it's really affordable - you wouldn't believe if I told you: hypester.org