USDCNH
It does not look like USDCNH will be seeing levels below 7.0000 soon. With 7 now becoming support I expect this to continue to move in the inflation direction. China is considering devaluing its currency for the first time ever. With Xi Jinping's ZERO-covid policy psychopathically trying to achieve ZERO virus infection rate. It is a living-in-the-dream-world idea.
This is the characteristic of the CCP which is not known for living in reality but only follows its ideologies to an extreme level oppressing every possible solution in exchange for more oppression of public life. They will not be able to save their currency at all. The inefficiency and the ineffective government will continue to be plagued with trouble. They only concern themselves with "face" not substance. Winning is impossible, so they must try to appear as though they are. (propaganda)
Protests in China are an everyday thing now. Citizens are dying of starvation from being locked into their apartments and also heat waves of drought after massive flooding earlier in the year. Office buildings burning, gas pipes exploding, damns collapsing, and bridges and chemical plants blowing up due to misguided regulations add more to the troubles that are stirring up.
Since I am very familiar with their consistent failure I will continue to make money buying USDCNH to infinity. We will see more suicides, mass starvation, and clashes with police in the streets.
I began trading USDCNH a year and a half ago. My long-term target of 7.01 which at the time it was near flat 6 and I thought it will be impossible for it to reach my target and yet here we all are today.
Sentiment: Right now nearly ZERO buyers and nearly 100% of Sellers are in positions around the world. This means the price of USDCNH will head up until all traders give up their short positions and will create even more buying orders don't the other side.
This is how I have traded all year and has been successful and will continue as I take contrarian sides of currency pairs.
Comment:
Typo *down the other side.