PipCountFX

Sell USD & BUY High Interest Rate Currencies (RUB, BRL, MXN, ZAR

Short
FX_IDC:USDBRL   U.S. Dollar / Brazilian Real
We take a look at why the U.S Dollar is structurally on a bear trend against the High Yielding Emerging Market currencies.

Two factors are going against the U.S Dollar.

1.) Low-interest rate differentials

2.) Negative Current Account Balance + Increased Fiscal spending increasing this problem for USD.

These four setups are popular trades across investment bank trade recommendations, due to the carry trade attractiveness using the U.S Dollar and a funding currency to purchase and profit from these high yielding currencies.

Video cut out due to Tradingview's limit but you will fully understand the fundamentals driving these trades and then using technicals to time our entries.

Kayan Kalipha