Ranking the major FX Rates and major Cross rates gives you a first indication in what direction to think for your next trade, followed by a next step of analyses before the real trade.

USD/CAD remain strong for several week now but compared to a day before it’s less strong from 10086 back to 10076 in strength, while the currencies quoted in yen are still weak.

In the weak (Red) currencies, only the NZD/USD had an upday (green 0.6272).

Anther way of ranking is done on Currency ETF’s as below and each column is a week.

remeber this is a ranking within the given group, which means the 99 figures is no buy signal or so, but just the strongest within this group compared to each other.

I was looking to the alternative US Dollar Index with present high volatility on the major FX rates.

For those not trading the US Dollar Index Future, the alternative way is to build your own index !

The chart below is the combination of the four major currencies against the US Dollar. 

The color of the line indicating Trend Up/or Down.

You can compared the chart with the real USDX Future below.

The USA debt stands today around $ 11.5 trillion or equivalent to over $ 37.000 for each and every American en this debt is expanding by over $ 1 trillion a year !

The mountain of debt easily could become the next full economic crisis !

The $ 11.5 trillion debt does not take into account roughly $ 45 trillion in unlisted liabilities and unfunded retirement and health care commitments !

Thatwould put the USA full obligations at $ 56 Trillion, or roughly $ 184.000 per American !!

About a week ago I wrote about the hedge percentage of the GBP/USD and it’s still the same at this time, even after the volatile move in this pair today, but not followed by other GBP pairs.

EUR/GBP is still heading south (red bars) but percentage to hedge is back to zero.

Only a close this week above 0.8600 will make the bars green and so the trend.

We see the GBP/USD holding it’s trend up (green bars)  as we are looking to the weekly picture of hedging the major currency pairs.

However the precentage is returning in the direction of neutral and only a (NY) close below 1.6185 this week will change the bar color to red and the trend down.

All other major currencies don’t show much change compared to their last signal and those charts are on:

http://www.2hedge.com/mmfxhedge.html

This time a look at a major cross-rate EUR/JPY and at the bottom of the chart the percentage to hedge for corporate use to avoid currency risk as much as possible.

For speculators however we see a double top for a possible break to higher levels.

Any break of the double top will force the hedge percentage indicator quickly up also while the downside support levels are still far away.

Our last post about the major currency trends was on May 24th and this time we are looking at the GBP/USD which is trending up now for 4 weeks in a row (green bars) and reamin 100% long for heding.

Only a close next week of below 1.5775 can change direction of the trend to a new down trend (red bars).

For other currencies see: http://www.2hedge.com/mmfxhedge.html

The EUR/USD is holding it’s uptrend since Monday May 5th. at 1.3435 (green bars).

The strong uptrend forced the percentage to hedge quickly to +100%

Other major currency trends can be found on:

http://www.2hedge.com/mmfxhedge.html

A quick look before the weekend on ranking the strength and weakness of the major currency pairs and major cross rates.

You can compare them with my earlier post on May 16th.

You are doing fine by just holding the 2-3 strongest and 2-3 weakest with support market speed.

It was a great week.

Ranking the major currency pairs and cross-rates gives a general view about strength and weaknes.

AUD and NZD against the USA Dollar are the strongest at the end of last week while their momentum is high as well.

CAD and CHF against the US Dollar are the weakest with momentum holding down as well.

You can trade this strategy by holding the strongest long and the weakest short.

You can compare the table below with earlier posts abou this subject.