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Chinese Yuan (CNH) is a "risk currency" that is closer in nature to the Australian dollar (AUD) and more directly reflects Chinese risk than the AUD. In particular, it is necessary to pay attention to Chinese stocks, business sentiment in China, and intensifying US-China trade conflict.

In addition to general exchange rate, there is another exchange rate called the Effective Exchange Rate, which is calculated by weighted averaging the amount of trade transactions with each trading partner country. The rate is an index for evaluating the external competitiveness of each currency country and the comprehensive strength and value of each currency. The nominal effective exchange rate is not taken into account of inflation rate, and real effective exchange is taken into account of that. The real effective exchange rate is considered to more accurately reflect the strength of the currency.

There is a strong correlation between the German-Italy bond yield spread and EURUSD (the opposite correlation). In long-term 10 years chart, ECB's strengthening of monetary easing was a major turning point in May 2014, and the Eurodollar has fallen sharply thereafter. Also, we compare Euro crisis in 2011 and COVID-19 shock in 2020.

TradingView has several types of comparison features such as difference, relative comparison ("Comparison" in the menu), and simple comparison ("Add Symbol" in the menu). For each method we will explain how to proceed, example chart, and important point.

In TradingView, there is a way to make this "fragment" of the trend line beautiful by making it invisible in unnecessary situations. In the tab "Visibility", you can set the time-fame for showing each drawing. By saving this visibility setting as a template, you do not have to set it each time you draw.

The magnet mode of TradingView is a function that to snap the "drawing anchors" of various drawing tools (including trend lines and horizontal lines) to the closest OHLC (open, high, low, and close prices) of the nearby bars. Magnet Mode is most effective when drawing Fibonacci such as Fibonacci retracement. This is especially important for long time-frame charts such as daily charts.

From the beginning of the year 2020, we can see that the order of currency strength is almost same order of grouping of "Current account is surplus or deficit" and "Resource country or not". However, we can see that AUD has outstanding performance. The Australian economy's trade surplus and current account surplus are expected to remain solid in the future as the Chinese economy recovers. Also, it has the highest policy interest rate of 0.25% among the advanced economies

CCI is one of the most powerful indicators. Because it's super quick and reacts quicker than other oscillators. Divergence of CCI occurs faster than one of RSI. Also, CCI responds sensitively.

On occurrence of hidden divergence on an uptrend which connects two points (Lower Low and High Low) is affected by; "The strong momentum of the early stage of uptrend that is included in the formula of the oscillator at the Lower Low, but is not included (by the passage of time) in the formula of the oscillator at the Higher Low"

If we judge the scenario was wrong after entry, we have to make loss cut as suitable level. Normally the loss cut line where the price exceeds previous high or fall below previous low. If price exceed previous high or fall below previous low, it is highly likely that the divergence itself has been denied, that is, the scenario that we drew has been denied. Therefore, it does not make sense to hold the positions anymore.