On Bloomberg.com it states that Carry Trades, the conditions have not been so good since 2000 states Goldman.
Homework: What is a Carry Trade, and what are the risks to the trade?
Homework: daily bar chart 15, 30, 60 and 100 day moving average is the moving average crossing over, diverging, or converging? Are the moving averages acting as resistance or support? Gaps, what sort of gaps are they? Are the trend lines breaking out of the trend to another resistance or support level? Patterns: What sort of patterns are they? Stochastics Charts on energy, especially oil, it is highly volatile at the moment and the financial press states the USA is burning through its oil reserves, how many other countries are doing the same. Do they have a sovereign wealth fund? How much oil and gas exploration and investment is going on, and will the USA end up like Japan and countries like Germany, relying on imports? How many other countries will be in the same boat is given the black gold’s reserves a highly undervalued commodity, given the investment in exploration? Precious metals? Will the rally in Coffee and Cocoa run out of steam? What is the story behind it? Do cryptocurrencies have back doors to manipulate the price?
What do you think is going to happen to inflation further down the line if China’s factory gate prices have risen to a four-year high so the FT states? What other countries have the same problem? What now for interest rates and currency fluctuations, bonds, equities, and commodities carry trades further months down the road? Remember if inflation rises, it eats into your investments and has a great impact on household spending and is controlled by interest rates.
Carry Trades Face Best Conditions Since 2000, Goldman Says – Bloomberg
What’s the future for base metals will there be down the road a shift in base metal prices? Will they be producing fewer cars? It’s a little early to say. Europe’s biggest car manufacturer what are the reserves of ore to mkae metals? Are there fields in Cina just full of old cars what parts of the cars can be recycled?
WARNING: Trading can seriously damage your wealth. Always read the terms and conditions of your broker!
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