Strategists at TD Securities go long on USD/CNH on a deterioration in US-China relations, as well as detected changes in the USD/CNY fixing beta. Key quotes “The proximity to recent political events suggests to us that Chinese policymakers will no longer subjugate renminbi policy to maintaining goodwill in US-China trade relations. We instead see policymakers prioritizing FX adjustment to the Covid-19 global trade shock and assistance in easing monetary conditions.” “We do not think that there will be an intentional outright politicization of the renminbi, which we would characterize by a substantial (10%-plus) idiosyncratic depreciation against the USD.” “We go long 12mth USD/CNH forward in our model portfolio at 7.2477 (7.1490 spot reference). Spot take profit and stop-loss references are 7.5060 and 6.9700 respectively. Current indicative 12mth spot forward take profit and stop loss levels are 7.6100 and 7.0665 respectively.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next EUR/JPY Price Analysis: Interim target is now at 118.50 FX Street 3 years Strategists at TD Securities go long on USD/CNH on a deterioration in US-China relations, as well as detected changes in the USD/CNY fixing beta. Key quotes “The proximity to recent political events suggests to us that Chinese policymakers will no longer subjugate renminbi policy to maintaining goodwill in US-China trade relations. We instead see policymakers prioritizing FX adjustment to the Covid-19 global trade shock and assistance in easing monetary conditions.” “We do not think that there will be an intentional outright politicization of the renminbi, which we would characterize by a substantial (10%-plus) idiosyncratic depreciation against the USD.” “We go… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
