Thoughts on some of the absurdity of multi-currency analysis. - page 10

 
Risk >>:

ЭТО НОРМАЛЬНАЯ ТЕМА ?

Куча баранов не знает как вычислить кросс, а у друго барана счета открывают в кроссах.

Это всего лишь очередной раз вскрыло необразованность бездарность и бесконечную тупость подавляющего большинства игроманов на форексе.

Correspondent accounts are opened by banks in Pairs, dummy accounts (more precisely, fours accounts in two currencies, within a bank it could be as many as eight accounts). And they do it in pairs of currencies just for currency dealing with clients. Otherwise it makes no sense for the bank to do it at all. You don't even have to work in a bank to know this, you just have to read any of the books I cited in the "Pricing" thread.

It just reveals the arrogance of most vocational schoolboys.

 
getch писал(а) >>

This is the standard and confusing view.

An unconventional but simple look:

Leverage any.

BUY 1 lot EURUSD 1.3580 - we have 100,000 EUR and -135,800 (negative) USD.

BUY 1 lot USDJPY 89.30 - we have 100 000 USD and -8 930 000 (negative) JPY.

SELL 1 lot GBPJPY 134.30 - we have -100 000 GBP and 13 400 000 J PY available.

In total we have available:

100,000 EUR

-100 000 GBP

4 470 000 JPY

-35,800 USD

This amount is constant!

There is nothing available except for CFDs and security deposit.

Therefore, profit from BUY 1 lot EURUSD, BUY 1 lot USDJPY, SELL 1 lot GBPJPY = (EURUSDt11-EURUSDt10)+(USDJPYt21-USDJPYt20)+(GBPJPYt30-GBPJPYt31), where XXXYYY0 - entry price, XXXYYY1 - exit price

special case when we simultaneously enter and exit for all symbols

profit=(EURUSDt1-EURUSDt0)+(USDJPYt1-USDJPYt0)+(GBPJPYt0-GBPJPYt1)=(EURJPYt1-EURJPYt0)+(GBPJPYt0-GBPJPYt1)

I.e. trivially, buying EURUSD and USDJPY at the same time is equivalent to buying EURJPY cross. But the volumes should be balanced. Otherwise such transformation to EURJPY cross will occur by partial volume, and partially remains a position on one of the majors. Similarly, by selecting the volums in this example, we can get rid of the yen, and the profit will depend on EURUSD and GBPUSD exchange rates. Everything depends on selection of volums.

In other words, in this example you can get rid of the influence of USD or JPY exchange rates, if you select correct selection of volums at the moment of purchase. The profit depends on the difference between the exchange rates at the moment of buying and selling. This is for marginal markets. If there were actual buying/selling and without leverage, the profit would depend on which currency to count in. In this case it is logical to count the profit in the currency of the deposit

 
AlexEro писал(а) >>

Correspondent accounts are opened by banks in Pairs, dummy accounts (more precisely, fours accounts in two currencies, within a bank it could be as many as eight accounts). And they do it in pairs of currencies just for currency dealing with clients. Otherwise it makes no sense for the bank to do it at all. You don't even have to work in a bank to know this, you just have to read any of the books I cited in the "Pricing" thread.

It just reveals the arrogance of most vocational school kids.

I thought it was your typo "banks open a bunch of correspondent accounts in crocs", though really, THIS kind of nonsense can only be written by a complete dilettante, and all dilettantes cannot admit their mistakes because of their hidden complexes.

And just so you know, nitwit, a correspondent account can only be opened by a BANK.

I can't believe how dumb you can be.

 
Risk >>:

ЭТО НОРМАЛЬНАЯ ТЕМА ?

Куча баранов не знает как вычислить кросс, а у друго барана счета открывают в кроссах.

Это всего лишь очередной раз вскрыло необразованность бездарность и бесконечную тупость подавляющего большинства игроманов на форексе.

How I understand you :) I meant "on this forum, it's a normal topic" :)

 

I mean, let's even swear politely and in a "you" way :)

 
Magnatis писал(а) >>

How I understand you :) I meant "on this forum it's a normal topic" :)

I almost completely agree with the author of the thread with his first post, but there is one but: sometimes it is easier for me to assess the probability of a cross movement exactly, rather than a movement against USD. But this is, as an exception, which confirms the rule.

 
Risk >>:

Я думал что это твоя опечатка "банков открывают кучу корреспондентских счетов в кросах", хотя действительно, ТАКОЙ БРЕД может написать только полный дилентант, а все дилетанты не могут признавать свои ошибки из-за своих скрытых комплексов.

И чтобы ты знал, олух, корреспондентский счет можно открыть только БАНКУ.

Сил нет, как так можно тупить.

So, in other words, you idiot has finally noticed what you failed to notice in my first post, namely that I was not talking about regular checking accounts (which even you have, and in which there is usually no currency trading), but about CORRESPONDENT BANK ACCOUNTS - through which currency is transferred between banks and for which banks conduct inter-bank currency trading (among other things).

Would you like to apologise now?

 

Gentlemen, you're not in a cheap pub.

 
Magnatis >>:

Господа, вы же не в дешёвом кабаке.

Who are you talking to? Personally, I am talking about crosses and interbank dealing.

 
AlexEro писал(а) >>

So, in other words, you idiot has finally noticed what you failed to notice in the first post, namely that I was talking about CORRESPONDENT BANK ACCOUNTS, through which currency is transferred and for the maintenance of which currency dealing (among other things) is conducted.

Why are you talking like a girl, it's disgusting to read ... Don't be so complex about it, no one here can appreciate the extent of your delusional conclusions.

...... and that's what currency dealing is all about :))) IT'S A TOTAL F... I'm just trying to figure out how the bank employees "maintain the accounts" :)

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