This thread is dedicated for any trade ideas that are longer than short-term that will benefit from the beginning of this obviously imminent global recession.
This apparently is the very beginning of a very severe bear market being led by this week by the Japanese market open. It seems a very unstoppable recession is imminent, it will be prolonged by the fact that central bank rates and median interest rates are low... That and growing disappointment for shareholders expecting growth rather than loss will exacerbate volatility in the stock market as central bank action becomes increasingly required to maintain liquidity in stock markets while price/earnings ratios are still high. Central bank action propping up stock markets usually is released as debt-purchasing such as the Fed increasing its' long-term balance sheet of treasuries.
Usually recession is good for US dollar exchange rates as in usual recession circumstance except for the fact that all its' major currency peers are undervalued substantially and emerging currencies are rebounding and poised to finally stabilize after 2 decades of excessive depreciation.
As far as forex is concerned one can probably assume out of major currencies that the JPY and AUD exchange rates will benefit the most from the stock market getting crushed with ceasing growth as JPY has smaller money supply than USD and AUD produces metals which prices for are rising meteorically (see XAU/USD). Any way I look at it Sell-USD seems like it will be one of the safest and profitable trade angles to pursue this year, if trades are applied with the correct times, prices and instruments, of course. I think one of the choicest trades for a longer-term outlook (3-24 months) is Sell-USD/ZAR reaping overnight interest.
Too late to buy XAU/USD? It's starting to look like it XAU/USD might do $2,000 sooner than most people anticipated. Less surprising to the minority that expects XAU/USD per ounce price to explode above 4,000-USD.
Expect the ongoing bad financial news to deteriorate into worse news.
This thread is dedicated for any trade ideas that are longer than short-term that will benefit from the beginning of this obviously imminent global recession.
This apparently is the very beginning of a very severe bear market being led by this week by the Japanese market open. It seems a very unstoppable recession is imminent, it will be prolonged by the fact that central bank rates and median interest rates are low... That and growing disappointment for shareholders expecting growth rather than loss will exacerbate volatility in the stock market as central bank action becomes increasingly required to maintain liquidity in stock markets while price/earnings ratios are still high. Central bank action propping up stock markets usually is released as debt-purchasing such as the Fed increasing its' long-term balance sheet of treasuries.
Usually recession is good for US dollar exchange rates as in usual recession circumstance except for the fact that all its' major currency peers are undervalued substantially and emerging currencies are rebounding and poised to finally stabilize after 2 decades of excessive depreciation.
As far as forex is concerned one can probably assume out of major currencies that the JPY and AUD exchange rates will benefit the most from the stock market getting crushed with ceasing growth as JPY has smaller money supply than USD and AUD produces metals which prices for are rising meteorically (see XAU/USD). Any way I look at it Sell-USD seems like it will be one of the safest and profitable trade angles to pursue this year, if trades are applied with the correct times, prices and instruments, of course. I think one of the choicest trades for a longer-term outlook (3-24 months) is Sell-USD/ZAR reaping overnight interest.
Too late to buy XAU/USD? It's starting to look like it XAU/USD might do $2,000 sooner than most people anticipated. Less surprising to the minority that expects XAU/USD per ounce price to explode above 4,000-USD.
Expect the ongoing bad financial news to deteriorate into worse news.
This thread is dedicated for any trade ideas that are longer than short-term that will benefit from the beginning of this obviously imminent global recession.
Count Of Antwerp
