USDCNH - LONG; BUY it up!!This is very likely a one-way move (up) here - as all previous examples would illustrate.
Most importantly, this is one of (if not "The") most lopsided FX (and debt, and credit, etc.) positioning currently on the entire Globe! (Everyone and everything is currently Net Short the Dollar vs. the Yuan!)
Ergo, as this move gets going (up) it is only likely to gain considerable speed.
Reminbi
BTC | RMB StoryAs we all fret on the verge of what's going to happen next with BTC, the Fed, the SEC's decision on Bitwise's ETF, the US-China trade war, etc... It's good to also not forget how influential China has been in the news the past year. And not to mention, how influential China has been to BTC the past decade.
If we look at the charts of both BTC and the RMB, there is a peculiar inverse relationship between the two. Are we poised for the next divergence as we can see on the top right?
The BTC 21 D SMA just touched the 200 D SMA indicating strength for the bears...
And as we all know the macro environment isn't looking too pretty either...
CHINESE YUAN STRENGTH??USDCNH looks very bearish in my opinion. We had a serious sell-off at the 6.986 handle, and I think we are due bearish continuation. This is a daily chart, so this is a longterm trade.
For those that follow bitcoin, it would be very interesting if we saw YUAN strength and BITCOIN weakness at the same time. :)