October 28, 2008
Picking Sesame Seeds Instead of Watermelons
Sell Aussie Dollar as China’s Economy Weakens, RBC Capital Says
“Australia’s currency is the worst-performer of the world’s 16 most-active currencies against the dollar and yen in the past month … Australia’s 17-year economic boom has been fueled by raw materials sales, which account for 70 percent of the country’s exports.”
OK, so they’re making a short-term trading call (sell below 63.36 cents, target 55 U.S. cents, stop loss at 67.9 U.S. cents) “citing technical analysis.” Risking four cents to make eight cents is ok, but why didn’t they tell their clients to get short below 90 cents (and still holding)?
The Chinese have a great expression: “捡了芝麻”，丢了西瓜” Picking up sesame seeds while casting aside watermelons. So much ancient, agrarian wisdom has been preserved in this language. It’s high time we quit scratching for sesame seeds and start harvesting watermelons.
October 28th, 2008 at 6:39 pm
Hey Maoxian,
Where do you get these great charts?
October 28th, 2008 at 6:46 pm
can we shoot them and take their watermelons?
October 28th, 2008 at 8:10 pm
@Kris: Bloomberg.
@pete: Yes.