Victor.Y.F

RISK OFF CAN BE HUGE WAVES? BE PREPARED FOR A TSUNAMI! GER30 SPX

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Victor.Y.F Updated   
FX:NZDJPY   New Zealand Dollar / Japanese Yen
KIWI/JPY is an leading index for global indexes by its risk on property. As we can see, the situation is on the edge now. Because JPY has no more easing as BOJ promised and 520 is a very risky day. The weighted JPY is recovering its purchase value soon. All pairs will be reset. Watch out!
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We're seeing some exhausting bounces these days. New report from US market told us that big hedge fund managers had cut their share holdings in first season and they had chosen to defend. As we know 520 and 623 are both very very risky days.
Even if SPX500 and GER30 go to new highs doesn't change my risk off choice. I don't invest anything but holding my money until weighted JPY reaches its purchase power value which means I'm holding a lot of JPY currency for safe haven until some HUGE risks happen. They will happen, soon...
Market is a mountains.
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Today, I want to talk to you guys about USD/JPY.
Even if DXY huge rising doesn't mean UJ is an up trending. As we know, we have a pair which USD is dividend by JPY. Infact, there are four directions in this pair and all that matters is the speed of the JPY's changing.
If you guys think about it then you will realize how deep EUR/JPY and NZD/JPY will drop.
Think it, again.
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Let's do a simple maths.
1, If DXY goes to new highs with USD rising rates, then we could reach target 0.5= NZD/USD.
2, If weighted JPY recovers its purchase power, then we could get target 96= USD/JPY.
3, ( NZD/USD) * ( USD/JPY) = NZD/JPY target 48.
4, Do your maths where we could get target EUR/JPY.
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It's very interesting to observe the argument between USD and JPY. US treasuery and BOJ have already given me the answer of weighted JPY's future. It's fun.^^
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I think it is beginning that weighted JPY is recovering purchase power. Japan has delayed consuming tax until Oct. 2019. That means there's no more devaluation this year. RISK ON should happen like 2008- 2009. From fundamental analysis, BOJ needs an healthy trade balance incomes this year. Because BOJ has too much debts already. The debts have reached their limits. They have 2 choices, tax and recovering purchase power.
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It is beginning.
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Shall we begin? now?
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60 is an healthy target for weighted JPY power.
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Watch out! BOJ rised long term rates called 10 years bond yield curve control and Kiwi could fall with cutting rates. This colud be a early sign of big pullback from global indexes as the same risk on property.
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Collapsing......
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With BOJ raised longterm rates and RBNZ will cut more rates. No one will believe BOJ raised rates but "Truth is boring " Denis.Y.Y. Right?
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Pains could be lasting very very long time if the VIX is being manipulated. Especially for the weighted JPY, the more quickly as it recovers purchase power the less lasting pains. Just like using a broken knife for kill the pig. it's going to be bloodily and it's a torture.
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Human being became more stupid than I expected because we are afraid of small quickly pains or I called it "a spoiled generation".
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I will open a new chart to update this pair because of FXCM data was sabotaged.
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FXCM data was fixed. GDT auction price is lower today. GDT price is a key for Newzealand GDP, lower price, lower GDP. We can expect short time weakenning from kiwi.
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Today we have confirmed that Renminbi will be tighten in 2017 and should rise rates in the next year.
www.yahoo.com/news/c...36655--business.html
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This will cause weighted JPY rises rates too. Like last hike the market has no surprising as boring like this.
I can't update weighted JPY because it's confidential now.
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Be careful guys, something is coming...... just a feeling and a guess.
NZDJPY is a risk/safe pair which is leading the global indexes. From monthly chart this pair is very early sign of the stocks markets crashing. The Kiwi is collapsing from GDT auction price and New Zealand GDP dropping, let's wait and see the YEN's weakness will save it or not. This time, BOJ could do nothing under Trump's shadow.
The food and the oil inflations correlated and DXY correlated too.
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From the March 2017 food inflation reached its highest level to the June. The GDT auction is forming a double top, this could be the first sign of Kiwi's weakness is coming. Meanwhile the core inflation should become the FRB's inflation already but the metals are still digging down, there will be 2 years very low core inflation controlled period. Maybe that's why Goldman Sachs is quitting the commodities market soon.
NZDJPY is an leading index of risk on, the Kiwi's weakening doesn't mean the weighted JPY can't help NZDJPY.
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This could be worse guys.
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But the correlation has been changed after the Brexit.
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Finally, watch out the channel bottom. The Kiwi may have given up...
This Risk/Safe pair is leading the way of the indexes.
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GDT dairy auction resulted in -2.4% down than last one in September, the Kiwi is dropping now.
As I always told you guys in this publishing, Kiwi/Yen is an important risk/safe pair which is leading the way for global stock markets. If we have a black swan situation on Oct. which the Japan election result may shock the market like Brexit, with the dairy food inflation crashing and the GDP of New Zealand slipping, this pair is gonna crash...
The New Zealand inflation is still too low to fulfill the RBNZ's target because of the Kiwi followed the US dollar in the QE period or saying it's too strong comparing with the Oz...
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Source: (chose your sectors wisely if you are still in the stock markets)
www.marketwatch.com/...a-melt-up-2017-10-04
The after Brexit risk on saved the channel lower edge, then the Trump election, then now what? I will watch this pair very closely.
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I've seen a negative correlation from June 2016 or saying the Brexit. Strange but worth to mention here, now if the weighted Yen rises, NJ down, the SPX500 looks like gonna go up...
This may be an first evidence of interests, inflations, stocks are gonna rise all together. A positive cycle should have begun in 2017.
Even if weighted Yen rising may help stocks doesn't mean Yen pair can't go down for a deep correction.
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Is this gonna happen?
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Finally... after the NJ dropping problem has been solved by Brexit the correlation is all good for the Yen's rising. The interests, inflation, indexes, Yen, a positive cycle has begun.
The western single market (SPX500, DAX30, FTSE100) shall rise with the interests. The China A shares market will drop in a condition interests at low, stupid as predicted before. The EEM market should be better than China, like 2010.
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The Kiwi should do hikes to be against this higher. Looks like Yen is gonna output inflations.
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Comparing with the GDT price wave pattern, consider that cross pairs are turning into where central banks are using core inflations, with Yen's weakness will do harm to the western stock markets (watch out the chart published on 9th. Oct).
I'm not sure if Yellen's old team operators will tell the truth to a new team of the FRB. Central banks usually make markets collapsing during food inflation changing into the core one before they realize what is happening... Yes, I'm telling your guys they're more stupid than you can imagine...
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Yen's moving is well, all good.
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Bearish below 80, very big one.
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Very bear, following with China stocks markets. Something in the New Zealand is happening looks like the culture influences from China is winning the western culture.
But in the Australia, with recently Chinese students have been attacked by local people, the culture conflicts are undecided. (We don't trade this FYI)
From the Oz. and the Kiwi will have divergent money policies point of view. A culture movement in Australia may have a future of western people. Oz. may balance the Yen's moving.
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The FRB mentioned food/oil inflation and the real inflation, as predicted before. Hope you guys are doing well.
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GDT auction toady -3.5%, RBNZ may has to do something tomorrow...the food inflation will drop meanwhile the oil inflation looks like going higher.
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OMG, Abysmal diving ... hope you’ve set a stop loss. The food/drink inflation is just topped, there’s a long way to go down from the top. Who are you with now, food or the miner?
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Like been predicted before, GDT auction today -3.4%, food inflation is done and it’s just beginning. Central banks have to use the core one soon, after the squeezing of course. Please Remember, in history chart they have usually caused market crashing during the switching. We’re looking for GER30 crashing soon but SPX500 may flat.
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Will it rise by Yen weakness and causes Ger30 crashing by a negative correlation? Watching it closely...
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DAX crashing with carry trades rising? Squeezing happens in months...
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Merry Christmas and happy new year!
We wish investors have good luck!
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Be careful here, RBNZ may hike soon, it results Kiwi devaluation...
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A little too strong in Kiwi, need put it down.
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We would like to see the food inflation put down but the Kiwi has a little out of control... the Kiwi is rising at any condition, no matter US dollar or JPY rising or dropping, it has lost control among those pairs in the forex market.
1, RBNZ hike to put it down, but for now, they're looking at China, wrongly.
2, Rumors about contaminated dairy, they did it many years ago...
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We’ve seen an huge Renminbi food (mostly pork has been cut by 50%) inflation dropping in China, good for all poor people in China. But we are still seeing Kiwi’s diary price holding high for now. How long it can last?
Bear, very bear.
Traders need to watch stock market sectors carefully, some stocks will follow the food inflation soon...
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The GDT auction today is being watched carefully for food and dairy inflation future. The triangle in dairy price should chose a direction to break out soon. Dairy farmers hedging time.
We've seen food inflation dropped by 50% in China. The market will fight this out.
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We want to say something to Chinese traders here:
The futures market is designed for hedging to protect assets like agriculture, oil, etc, high lost risk products.
The futures market is NOT for speculative purpose, small traders are only participants.
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Food inflation like Kiwi should be weak. ( New Zealand GDP sensitive) Without the support from monetary policy, people around the world are now getting poorer. Sooner or later, they can't afford to buy expensive food and dairy any more... We don't think RBNZ is ready for this, they're watching China, by wrongly using the same money policy as Renminbi. ( New Zealand core inflation is too low)
Recently we've seen a lot of food price reduction in China. We've predicted that China's dairy stocks will fall sharply in the near future...
We've given the hedge strategy, as usual.
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The NZDUSD should pull back to trend line 0.7000, not sure why, but it's possible. Only if DAX crashing could lead to NZDJPY rising from negative correlation point of view. The Kiwi core inflation is too low, NZD has been over valued from negative interests (the negative interests was over on Feb. 2018 in China), this is unhealthy. The RBNZ isn't ready for the food inflation failure, yet.
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The RBNZ has shown their satisfaction for the Kiwi weakness today. Also they're facing the competition where is from Oz. dollar, dairy products price from Australia has fallen by 50%. Sooner or later, the GDT auction may collapse.
Be careful here, where those markets and prices have positive correlations with food, could crash simultaneously... ( Mao-tai top)
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GDT auction collapse by -5.0% today, just like predicted before, and the China food inflation collapse with Mao-tai top. The China stock market just in the major collapse...
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Some tips here, (we have no secret on TV, if you read the updates carefully)
There're 3 kind of inflations, food/oil short term non-core inflation, basic metals (iron ore/gold/copper) long term core inflations, the real-estate price (especially for China house price is too big to fall). They have historical correlations with the US stock market and the money policy, during the different cycle of economy.
This is where the China money policy making huge mistakes, it looks like that there're only few people in FRB who understand this cycle, Yellen, Powell, Bernanke...
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The weighted Yen is weakening, but this doesn't mean Kiwi is a better choice. The food inflation is too high where needs to be put down before the rising. It has a correlation with China market, it will be put down sooner or later, very lagging.
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Kiwi/Yen should go lower to around 71.00, the 7-7-7 convergence and the inflection zone, bring a better opportunity there on Oct.
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Previously and now......
we've warned a lot about the food/dairy inflation top and Mao-tai top and China stock market correlation with the food and the negative interests in Renminbi. Now everything fits our predictions.
The question here becomes: will the US and the EU zone stock markets follow it to drop or not? It will depend on the weighted Yen. We still insist that the stock market will crash into the October where the BOJ could use their money policy by an excuse of the Japan inflation weakness and especially the Tokyo Olympic Games should allow them to win a permission form G7 industral group countries.
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Kiwi should be limited by RBNZ, the food is still too strong. We should have a rate cut in NZD where will be different between Oz and Kiwi money policy.
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Source: GDT website
www.globaldairytrade...s/whole-milk-powder/
We couldn't see the GDT index price data over 10 years now, due to the website problems, but we can see the individual milk data like slim/whole milk over 5 years. The price now is forming an head shoulders could drop to the same low in 2015, where the USA hiked or the Chinese Renminbi devaluation was announced.
Food inflation should be weak during the core one is rising, each time when they switching, the stock market crashes... because of the capital must flow.
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The RBNZ may suprise you... guess what they could cut rates... to make Kiwi drop into the bottom then rising.
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Very naughty, food inflation needs to be put down by the RBNZ... Kiwi core inflation is too low. The NZD ATR is still too high, should have been put down long time before.
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Disasters in the Kiwi now, we may see a New Zealand government intervention in the RBNZ to force it reform soon. Too strong for the export and trade, cut rates or devaluate dramaticly, either way Kiwi should surrender to the core inflation.
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GDT auction is -3.5% today, the Kiwi is in a trouble. Again the food inflation is too high( at the top now) the oil has surrendered to the market, what’s about the Kiwi? The RBNZ doing it badly, they should’ve cut rates or should’ve devaluated it long time before.
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Again the food inflation isn’t get controled, this may due to the Kiwi has some correlations to the China food inflation. In 2019 after it opens domestic market for the import food, this may change.
The food and the oil inflation are short term inflation and they don’t count into the USA market, because they’re very volatile and the food is very cheap in USA.
Chinese have some bad habits to consume domestic food, it’s the very source of that food inflation. But it’s ending soon.
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We're gonna see a little weighted Yen strength from here, in a condition Brexit and the FRB pre-hike reactions, then we should get Yen weakness quickly in 3 months.
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Kiwi volatility is the biggest one still, the RBNZ isn't careful with their currency. Cut rates and use liquidity to control the market is the right thing to do. But who knows and who cares, right? We don't trade disasters.
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RBNZ cut as predicted before.
Only BOJ intervention can save this pair but this one is still the weakest before the weighted Yen bottomed.
The DAX30 and the NZDJPY negative is obviously, please play the title chart.
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The RBNZ QE should've begun already.
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Among those pairs, the Kiwi maybe the weakest one. The food inflation should've been topped in the midterm cycle. The RBNZ is still unable to control New Zealand currency, even after the disaster has happened there.
It's very disappointed, like we've said, they're bureaucracy. The future will be more difficult for dairy and food, if they couldn't do a QE quickly.
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GDT auction -3.8% and Kiwi going up? Please be careful, food inflation may have been topped in a midterm cycle.
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If the RBNZ couldn't control Kiwi volitality with China government central planning beats the food inflation top, in a condition US dollar cut rates, there might be something worse. Central bank should've watched out yourself currency very carefully.
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Interestingly just like our predictions, China giant milking companies 600887 yili and HK2319 mengniu are having a fight for the 2022 Olympic Games winter, this is gonna make a scene now. Very interesting and dramatic, we're glad to watch this dog fight now, the consumers should've very cheaper dairy products soon, goooood.
This is very bad for RBZN, it'll be very hard to export the dairy into China market without more devaluation Kiwi. The New Zealand is an agriculture country which its GDP depends on the dairy export, so it's simple, right?
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We've predicted NZDUSD down to 5600 in the future, the Oz dollar is different from here.
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The RBA is forcing RBNZ to cut rates, a big one. Among those major forex market currencies the Kiwi rates is the highest. The EEM investors prefer higher interests, which is making capital flow into New Zealand, to enjoy the free meal.
Be careful with the free interests, especially Thanos rich people, it'll cost you.
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In an interview with Radio NZ on Tuesday morning, New Zealand’s (NZ) Deputy Prime Minister Winston Peters takes credit for a falling New Zealand dollar,
Key Quotes:
“The Government had affected the value of the New Zealand dollar by announcing a changed perspective on how it would regard the currency, as opposed to the previous government. The previous government wouldn't move a muscle when the dollar was so bad for exporters. We've been prepared to say, 'no, no, we're going to look at the Reserve Bank Act', and we've sent a clear signal we're not going to put up with a dollar that's disruptive to our export markets and New Zealand's export-created wealth."
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Source: Bloomberg, FXCM,
"operators: EU banks sold NZD triggered dropping".
It seemed like that happened 1 hour ago, on NZD pairs charts, more like RBNZ actions than the EU banks. It's morning in EU zone, market not open yet.
Be careful, Thanos rich people, the free meal in high interests currency is over.
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Seeing poorly ATR control in NZD pairs, if US dollar cut 0.5% on next meeting, RBNZ would like to raise Kiwi to "disruptive to our export markets and New Zealand's export-created wealth."
Very funny, central banks stupidity. Traders should've understood that the globalization has been ended since the year of 2015 negative ECB and unreliable central bank SNB. It's naive to have a thought of the central bank free style without political right, especially in a global populist culture movement.
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Source: daily fx
RBNZ: focus on updating unconventional policy measures, unconventional policy work is at a very early stage.
See? The Kiwi QE has begun. Too late.
The RBA should've let Oz go higher, the RBA minutes is showing that they've talked about the risk of hiking.
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See? RBNZ cut 0.5% to follow US dollar, this's just a beginning.
Be careful here, the RBA's inflation target may have been reached soon. Simply saying, RBA could hike later.
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Seeing New Zealand diary 50% sale off in China shopping mall, but this's too late already. Due to the poverty in 4 years and the populism growth fast, also Chinese have the old habits to consume domestic foods, this sale off is a failure. As the result, the Kiwi dollar will devaluate aggressively into negative interests.
Before that negative affects, the food inflation is topped here.
Again the RBA is more willingly to hike in the future "some day".
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Too high ATR in the Kiwi, any US dollar or weighted Yen weakness will result in higher price, which is RBNZ wouldn't let it be.
The RBNZ hasn't gained the control of its current, very disappointed.
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Let's make this clear:
As long as the RBNZ hasn't controlled the Kiwi dollar ATR, or saying let the Kiwi collapse against the Oz dollar, the global stock market will never rise again.
The forex market has been sick for many years, the G7 group don't care about it because of China is a compensation.
This situation should be ending soon.
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The Japan consumer Tax has been raised to 10% today, it's very strange to see this one move.
The previous consumer tax raised in 1989, 1997, 2014 are followed with very high risks events in China, where 64 in 1989, Hong Kong return in 1997 and stock market top in 2015. So the Japan consumer tax raise should follow up some kind of risky event in China.
Let's see if the weighted Yen goes to weakness or not, by negative interests.
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2019/12/06 Beijing time 15: 16
Now the RBNZ is carelessly doing it again, the past lesson isn't hard enough to make them to regret it. The food inflation shouldn't have been such high Vs. the core one. The right thing to do is to control your currency volatility for following the trade talks of USA. Simply saying follow the US dollar weakness or, if it goes stronger then to be against its strength.
Just weak it before new crisis happens in New Zealand, or let it happen then after that to regret it.
Same thing happens in China too, the previous lesson isn't hard enough to be over yet, until the revolution completes itself.
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2020/03/16 Beijing time 16:02
The NJ negative correlation with DAX30 has begun since 2015, if the global stock markets start to rise from here, the NJ should drop. This is a textbook negative chart to study.
The New Zealand society might have some future problems to trigger the weakness in the Kiwi. ( the coronavirus in the dairy trade?) Simply saying, if an human cycle is ending and people don't follow it, then the cycle tends to strike back with a "trigger", by incident or accident to make people follow.
Nature is wild and violence, right? And don't play God.
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2020/03/19 Beijing time 16:23
Previously on NZ50G ( log scale)
Now
All Ordinaries
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2020/05/13 Beijing time 14:26
RBZ is talking about "at any costs" today. The NZD is gonna go negative, just like we predicted long time before.
Again, the food is too high the core is too low. The question is, why the hell we have to go into this situation, where the human civilization is ending, to realize that? Because they did it all wrong, they always make the market crash, and repeat again.
Everything is too late, somethings and some people have gone too far.
God may have abandoned human race already, due to what we're doing, by all mistakes we're making desperately.
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2020/05/20 Beijing time 15:03
Source: FXCM
RBNZ: "According to New Zealand bond management forecasts, the nominal size of the NZGB will rise from $40bn today to $72bn by June next year and to $120bn by June 2024."
See? New Zealand QE has just begun and Australia QE has ended. Kiwi will go to negative by following US bonds, for sure.
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2020/06/05 Beijing time 17:46
The Kiwi is still going wrong way. RBNZ is so stupid, that they wouldn't accept the food inflation has been topped for a major cycle. Meanwhile the core inflation is still too low. To the RBNZ, if you couldn't devaluate your currency, then the market will do it for you. The trigger is unknown, the society impact is unknown, we're observing them here very carefully. Or you can do it like the FRB( Fed), anyway the market will do what it is suppose to.
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2020/07/02 Beijing time 17:51
The Kiwi should go with US dollar now. But we doubt the RBNZ will follow this chance. If RBNZ can't follow, we should see a "trigger" in New Zealand soon.
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2020/08/11 Beijing time 17:44
Source: FXCM
The New Zealand reported 1 case since 104 days. Auckland is shutting down.
Be careful traders, the Kiwi will collapse. This is too late, RBNZ should have devaluated NZD long long time ago. Now with the USA condition, the coronavirus are striking foods export and tourism, those 2 supporting have failed.
If you guys follow us carefully, you should've seen our point of view has pointed this Kiwi problem 4 years before.
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2020/12/31 Beijing time 18:53
This Kiwi level is NOT ok, the food price still too high, the poverty is getting worse because of this pandemic. We've said this many times and many years before. No central bank is looking at it, none of them cares, and the commodity is still too low. The cycle window is closing, the BOJ should use tools wrongly, then the situation would reach the worst in a next 4 four years. What is a net poverty? it's a social sickness that people would never recover their purchase power again. Then a bigger revolution shall come. A second pandemic should be there too.
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2021/2/17 Beijing time 18:37
The leading index NZDJPY, correlated with USDJPY and GER30/SPX500 as the "single market".
According to Reuters: "we are facing inflation, we are witnessing inflation and we are worried about inflation, the CEO of KafHeinz said."
Too,oooooo late. the net poverty is caused by central banks, now those careless food companies and poor consumers are facing reality. We doubt that there's a standard in all market now. Maybe the US Bonds has, but who knows, who cares, right?
Disasters......
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