I am sitting here smiling and laughing.
You want that peg lifted??? Just let me know. Because the moment I go short on that thing: it will be lifted!!! LOL!!! How’s that for a free trade signal!!! LOL!!!
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For fun here’s one:
Check out the behavior. Another brick wall (just look at the 6 month chart for instance). Not a lot of pips though even when it does bounce off of the wall. And it looks like the peg on this thing changed a while back. But nevertheless: it is indicative of the theory we’ve stumbled across here anyway. Verification of concept if you will. Sorry. Correction. It has not changed. It’s pegged at 0.709. Obviously just not trading at the brick wall level of 0.709 at the moment. Look at the “All” data chart. Barring four spikes above it: brick wall is at 0.709 on the dot (exactly as detailed in the Investopedia article).
Another one below. SOMEBODY is trading these things though. But I’m willing to bet the spreads are probably prohibitive to take like some HUGE position and shoot for five or six pips to make a nice profit. And probably also no liquidity. Still. Rather interesting.
Seriously starting to worry myself now. Just added USDHKD to my daily watchlist on my platform!!! Even worse is that I think I know of a way to calculate position size on this thing (basically in order to stop a person betting the farm in spite of the one way bet).
Well all I would do it work out ATR(10) but EXCLUDING those big drops down. See what it normally is when the thing is knocking on the wall and just use that figure. Point is: you don’t care if it goes the other way simply because it cannot. So any spike outside of that range can only be in your favor.
Back to topic…My beast is fighting mid level currently.
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I don’t want to adult today, I don’t even want to human…I am a cat!
Never got your message.
Don’t worry about it. I get illegal interception of communication all the time.
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Well for now and on topic:
I just found the below. It’s a bit old. But it’s interesting. We’re mucking about in the BIG league here!!! LOL!!! And also not the first to notice this.
Funny thing is…All these so called experts are very quiet about this. F^^^^^
When I came across the EUR/HKD, everybody told me to shut up…You brought up the USD/HKD
You tell me…Are we going to gun for it?
Well I’m certainly game. Listen: where I’m at??? LOL!!! I’m sure you get the picture.
Only thing is though:
I personally wouldn’t do anything until it gets to the brick wall. And that could take some time. And then who knows how long it’s going to hang around there. But I am game for sure. Time permitting that is.
By the way:
Jeepers. How long does it take these dudes to read your messages??? It was only one line for goodness sake!!! LOL!!!
I am a person of short patience… SL=7.82044/ TP=7.83905
did this at 06:00 this morning
But at what price did you get in???
Well message still not delivered. Not serious. I am sure it’ll get there.
To answer all your questions and to stop the debate of trading usd/hkd i have took 1 second of highly expensive of my time to do a highly competitive and expensive research on the all mighty hub of all financial informations a.k.a. “google”
It revealed the information that the hkd is pegged to the usd…
(Everything above was a mix of sarcasm and actually true information)
To those who do not know what it means that a currency is pegged to another currency i will not go into great details but simply explain the result of that research:
Pegged currencies can not be traded against each other.
I hope this clarifies all your questions.
Edit: i didnt read even 1 post of this thread so in case this has already been said then i hope the double info helped someone
got in at 7.82220
Thanks for you invaluable insights!!! LOL!!!
HOWEVER: if you actually read this thread then you’d know that we are WAY ahead of you!!! LOL!!!
We know it’s pegged. That’s what sparked the interest.
And I don’t know how you can say that pegged currencies cannot be traded against each other. There was an analyst on Bloomberg just yesterday talking about this pair and what’s happening with it. Furthermore: I know for sure I could trade it. And not to mention that the esteemed OP is actually long and in a nice profit at the moment.
Now that’s all out of the way!!! LOL!!! Allow me to continue…
I was merely asking how Options worked and if there were Options available on a pair like this. The logic being (from my rudimentary knowledge of options - Vanilla in particular) that one could buy (or open or whatever it’s called) an Option at the market price (once we’re at the peg) and with a strike price of “wherever” and for what time period. And for how much.
In my post before i briefly said that pegged currencies can not be traded against each other and said that i wont go into great details onto why.
I will not go into great details so ill write one sentence onto why peggies cant be traded:
Their xchange rate is beeing set daily by the central banks. What they decide is the price.
Damn i wrote 2 sentences.