In search of yield, UK or US? How correlated instruments can improve your FX trading

This is a weekly chart of UK bonds/yield/Pound versus US bonds/yield/dollar…what can you see?

gbp-flow

I have continued my research on correlated asset classes and it has been very fruitful.

Forward testing on EURUSD using the MOEX asset…here are the results so far.

I take one trade per day. Usually during the Asian session into the London session. I target 30-60 pips. Looking good so far.

euro-grail-moex-1

I’m hoping to use this to make 25% minimum monthly returns on EURUSD trading alone.

It’s ridiculously simple and straightforward and I intend to teach it to part time traders, once I have perfected it.

Yours in the quest for success & significance,

Olufukeji ‘Ejiimi” Adegbeye, CWM

Correlated Asset on the MOEX Moscow Exchange?

To be a successful trader, you must:

– Understand dealer counterparty risk and trade it.

– Identify/create correlated/synthetic instruments and arbitrage the divergence.

So, I spent today researching on correlated asset classes specifically for the euro.

I have been looking at LIBOR spreads, swaps, OIS etc…and I think I finally found something that could be an edge for me when trading EURUSD, especially for spotting potential daily reversals.

It’s an asset class traded on the Moscow Exchange.

See pictures below.
Euro Grail moex.PNG

Euro Grail.PNG

On cryptocurrencies & MLMs.

Any “cryptocurrency” that requires an MLM/ pyramid networking structure to profit from is suspicious.
 
Any “cryptocurrency” that is not accepted as a means/mode of online payment for goods & services bought from regular retail stores is suspicious.
 
Any cryptocurrency that isn’t integrated with blockchain technology is suspicious.
 
Any “cryptocurrency” that is created, without encryption or data mining, out of thin air by a founder who is not a programmer and cannot be mined by indepndent data miners with very advanced computers with superior processing abilities is suspicious.
 
Any “cryptocurrency” that is not traded independently on an exchange is suspicious.
 
Any “cryptocurrency” that is not traded independently as a CFD on a Forex, Equities Trading platform like Metatrader4 is suspicious.
 
Any “cryptocurrency” that has steadily appreciated through the years and has never depreciated is suspicious. Even Bitcoin, the pioneer and most trusted cryptocurrency lost 75% December 2013 and throughout 2014.
 
Invest in yourself by investing in knowledge before you invest money in any “investment” scheme.
 
To understand the world of investments and how you can grow a multimillion dollar investment portfolio, subscribe to my Millionaire Investor Mindset Course where I will show you how to achieve million dollar status in 5 years or less by profiting from your passions, your purpose & your portfolio.
 
PS: If you do have never heard concepts like data-mining, encryption, blockchain, then you should educate yourself before putting in your hard earned money.
 
PS.S.: If your “cryptocurrency” is not Bitcoin, Litecoin, Darkcoin, be very careful. Do your DUE diligence very very well.

Leading Economic Indicators

Leading indicators are a good place to start your fundamental analysis research.

Watch how this analyst used leading indicators to determine investor sentiment in China.

He kept mentioning building permits as a leading indicator…as well as M1 money supply.

I’ll research them once I can find some spare time!

Let’s also look at how we can track ISM versus 10 yr US Treasury notes…

Bond & ISM.PNG

Trading Nugget: TED Spread, TIPS & LIBOR OIS Spread.

I had a heated conversation on Skype with a trading buddy of mine.

And this was the summary.
ted-tips

I remember a trading mentor of mine telling me to identify where banks offload their dealer counterparty risk and use those assets to determine what banks wish to do.

http://www.macrotrends.net/1447/ted-spread-historical-chart

https://en.wikipedia.org/wiki/TED_spread

http://www.investopedia.com/articles/active-trading/061114/what-ois-libor-spread-and-what-it.asp

It led me to do some online research and I stumbled on a few good resources for my global macro analysis, such as :

https://blog.variantperception.com/

So I decided to post here.
market-top1market-top2

Trading Nugget: Brian Twomey

“How about this for correlations. If the EUR/USD goes up and the USD/CHF goes down, is the market buying Euros and selling US Dollars and how would you know. Well EUR/CHF answers that question since it should rise along with the EUR/USD. If it doesn’t, its a false EUR/USD move so that high can be sold”

This was said by Brian Twomey here:

http://www.forexfactory.com/showthread.php?t=389386

Brian is the author of:

https://twbrian.wordpress.com/

euro-fade

ART INVESTMENT ADVISORY: Should I diversify into African art?

 I read Remi Owadokun‘s post earlier in the day where she challenged us to consider our descendants, the questions she asked and statements she made like –
 
“Remi… will your grand children know your name?”
 
“Will stories of your exploits be told for generations?”
 
“I did not come to spend my WHOLE one life “only” to be remembered by my children”
 
Remi said, when you consider your descendants, even your thinking will change!
 
So I spent today thinking of all the weirdest, practical & yet most interesting diversified investments I can make on behalf of my kids & grandkids.
 
From tree planting to art collecting…and I really think that collecting art now on behalf of my grandkids will make a lot of sense.
 

Furthermore, I’m up tonight researching on top hedge funds and I realise that Citadel’s CEO, Ken Griffin spent $500m on two art painintgs. He is a hedge fund trader, so him spending that much on art is an eye opener to me.

I then do some more research and discover that African art is growing.

most-expensive-african-art

Irma Stern’s Arab Priest artwork, seen above, sold for $4.8m at Bonhams. It holds the record as the most expensive African painting.

Prince Yemisi Shyllon, Nigeria’s largest private art collector who started collecting as an undergraduate, says his pieces have appreciated on average 10 times in 2 decades. That’s pretty decent ROI, in my opinion.

So, should I start buying relatively affordable pieces now from contemporary african artists and start a modest collection for my kids and grandkids?

Anyways, the articles below may throw some perspective on the potential!

http://www.bloomberg.com/news/articles/2016-02-12/is-the-top-of-the-art-market-in-trouble

http://www.bloomberg.com/news/articles/2016-02-18/billionaire-griffin-said-to-pay-500-million-for-two-paintings

http://edition.cnn.com/2015/09/17/arts/africa-contemporary-art-investment/

http://www.telegraph.co.uk/finance/personalfinance/investing/10842809/African-art-a-good-investment.html

http://www.bloomberg.com/news/articles/2015-06-09/art-for-art-s-sake-no-more-african-works-entice-investors

Afterall, art appreciates when the artist is dead…hehehe!

So I’ll collect today’s artwork for my grandchildren…hehehe!
 
What do you think?