JSSPMK, my JPY 0.01200 calls are already ITM. My JPY outright shorts negative. Usually, when I begin with dynamic hedging strategies, we´re not far away from a top or bottom. China´s currency diversification doesn´t make much sense into a country with over 200 % debt/GDP ratio. If the next Japanese export surplus figures are going to be released and Japanese stocks take a tumble, you should see massive JPY long covering...
Chinese buying Yen could quite simply be down to: "Wednesday 08th September, 03:36 PM JST BEIJING â Chinaâs Foreign Ministry on Wednesday lodged a strong protest against Japan over the detention of a Chinese fishing boat near disputed islands in the East China Sea and the arrest of its captain." That was on 8th September. Soon afterwards on 10th of September: "As the yen hovered near a 15-year high against the U.S. dollar Thursday, Japanese Finance Minister Yoshihiko Noda called for talks with China over its recent yen-buying spree, which has helped drive the yen higher, making Japanese goods less competitive with China's." Then there was the intervention. Lawrence pointed out that the boat incident happened when Japan & China & big oil find, perhaps USA had something to do with it, piss off Japan, Japan pisses off China, China buys Yen :eek:
AS, I have a question for you, what would you say is the likelihood of Ninja taking out the all time low upon 1st touch? Personally I don't exclude a flush, it sure smells like one, but I don't see it making 80 resistance. In fact I see that retail % reverse in favour of shorts & price bouncing of all time low substantially.
Not yet, unfortunately BOJ has started competition between the world´s central banks who is going to stop this monster of USD devaluation... But with world´s most stupid central bank, i.e. FED what are you going to do ? Speechless....
interesting statement from Kan Wednesday, October 13, 2010 Kan Seeks S Korea, China Cooperation On Forex TOKYO (NQN)--Japan, South Korea and China must act according to common rules to ensure stability in the currency market, Prime Minister Naoto Kan said Wednesday.
Japan warns China on currency policy Tokyo also raised concern about S Korea http://www.ft.com/cms/s/0/f6a51674-d676-11df-81f0-00144feabdc0.html