NZD/JPY -
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thread: NZD/JPY

  1. #11
    Member fanl1's Avatar
    45
    First, I found this site offering exceptional fundamentals on NZD: http://www.beehive.govt.nz/
    Second, I built a system around the NZD/JPY. It needs some work. If you exchange this pair, please check out my system, hyperlinked in my signature.

    Tom
    I posted my view in your system in your own thread.

    Regards,
    Jan

  2. #12
    Junior Member luanatika's Avatar
    28
    Jan,

    Have you looked into running exactly the same carry trade on Gbp/Jpy?

    IMHO, I believe the rollover credits/ interest payments per mini/lot are almost double that of Nzd/Jpy (OK, the trading range is far greater also!!) .

    Cheers,
    Tim.

  3. #13
    Member fanl1's Avatar
    45
    Jan,

    Have you ever looked into running the same carry trade on Gbp/Jpy?

    IMHO, I believe the rollover credits/ interest payments per mini/lot are almost double that of Nzd/Jpy (OK, the trading range is far greater too!!) .

    Cheers,
    Tim.
    It is a very interesting pair too and has been in a very pleasant long-term uptrend this year and this month. Would think about it a buy definately, no matter how the interest rate gap is far lower (5%-0.25%=4,75%) then NZD/JPY (7.25%-0.25%=7%). But if we'd think about the development in the value, it would be a massive gain. A definite buy.

    Regards,
    Jan

  4. #14
    Junior Member luanatika's Avatar
    28
    You are probably right there Jan concerning the current interest rate differentials between the afore mentioned currencies (I haven't checked them!!) .

    But, I was refering to the interest payments you're going to get from your broker.

    OK, an individual should reflect another, but apparently that's not the case (and I have no idea why!!) .
    Taking fxcm as an example, their interest payments for 1 mini lot of NzdJpy is $1.23 per day, for GbpJpy it is $2.40 per day.

    Sorry for not keeping this thread devoted solely to Nzd/Jpy!!

    Cheers,
    Tim.

  5. #15
    Jan,

    Have you ever looked into running exactly the same carry trade on Gbp/Jpy?

    IMHO, I think that the rollover credits/ interest payments per mini/lot are nearly double that of Nzd/Jpy (OK, the trading range is far greater too!!) .

    Cheers,
    Tim.
    Interest works out to be much with GBP/JPY as your lot is worth nearly twice up to 1 NZD lot. If you purchased 3 NZD lots, it might come out in USD to be just a little more than what the USD value of 1 lot of GBP

    Thus, NZD = less equity per lot.

    Hope that helps to understand that the diff

    GF

  6. #16
    Senior Member Orduniik11's Avatar
    101
    Surely, GBP/JPY and NZD/JPY bith have pip values of $0.85 a pip (to get a US$ account) so how can you be worth less than the other?

    Bonus points to get an 'Airplane' quote at the reply!!

  7. #17
    This dip on each of of the JPY pairs seems like the ideal chance to begin watching for a long set. Though caution clearly ought to be high considering the discussion of as high as .50 bp rate rise within the next few months. Since I've no place in any carry trades, I welcome this dip... I expect for my sake (isnt it : ) that this dip continues and now I'll get cheaper prices for my hopefully long hold north.

    CHF has been shortened a lot as well right now, with rising rates coming (possibly) in Japan, CHF can become close as equivalent a carry trade using its low 2 percent currency interest.

    Any other ideas?

  8. #18
    Member fanl1's Avatar
    45
    I believe the thing that is main is going to be the decision on interest rates in Japan. We are going to have to wait and see, what's going to happen. The truth is, that NZD and AUD are still very strong against JPY.

    Between us, I'm hoping for the YEN to gain against NZD and AUD, so we get a better for both.

    Haven't looked into the fundamentals a lot recently, so this is simply a wish with no company arguments. But so much as I hear, BoJ should increase rates this month and lay ground for further rate rises. Who knows, we'll have to wait and see, but I'd short in the moment, as the retracement is far from over.

  9. #19
    Between us, I'm hoping for the YEN to gain against NZD and AUD, so that we get a better for both.

    .
    Although I have taken advantage of this change and plan to maintain as long as possible, I couldnt agree more with your statement. With a .50 rate raise by Japan, the market will have no currency to carry against. With JPY power it'd do good things for those that are looking to get into pairs long term such as NZD and AUD JPY.

  10. #20
    Member fanl1's Avatar
    45
    Darn, I missed the entrance at 77...

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