It has been 2 months I didn't write any blog. I am preparing Hedge Fund business proposal to some of the 'big boys'. Now, the terms of Currency (FX) Market is different. You might heard GDP, NFP, Carry Trade in FX Market, but now the new terms are controlling the speculators mind; QE, 'Currency War', China and more.
Bare that in mind, China has the biggest USD reserve in the world. So any speculators want to 'attack' RMB or Yuan, it is not as easy attacking RM, Bath, Won or other developing countries currency.
Strange but true, every 'advanced economic' want their currency devalue, yes... this is how China can experience the GDP growth for the last 2 decades. The simple term is 'Export'! If you have a weak currency compare to other, relatively your export become cheaper and demand will increase. The so-called 'imbalance of global economy' is all about the 'value' of the currency of each country.
USA! The powerhouse of 'printing money' will bully other by pushing down their own currency to 'balance' their economic, and buying theirs own bonds via the unofficial world bank, Fed Reserved. All the major pairs will become stronger then USD. China being the only country that will keep their currency 'slowly appreciate' against USD. China have their very strong views which I totally agreed. If RMB is appreciate too fast, the China economy will be in turmoil, it will cause the society imbalance and thus affect the world economy.
