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Volar’s Math Mix On FX
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Volar’s Math Mix On FX

by MoleSeptember 15, 2011

So I obviously love to play seasonality.  A little math here and there, with a dash of sentiment, and a splash of price action makes a fairly good trading plan.

I will give away 1 free chart.

So here is the free one: Seasonal momentum of JPY:USD Spot. The left axis is the JPY relative to a 100sma. The right axis contains 2 seasonal averages for the last 30 years- notice both have the same directional tendency.

Now for the crew.

[amprotect=nonmember] Volar’s charts and commentary below for anyone donning a secret decoder ring. If you are interested in becoming a Gold member then don’t waste time and sign up here. And if you are a Zero or Geronimo subscriber it includes access to all Gold posts, so you actually get double the bang for your buck.
[/amprotect] [amprotect=1,13,9,12,5]

US$ all years.

This is just to show how extreme we are seasonally.

Here is analog years.

I am betting it goes lower.

More evidence:

Now, I have less Euro data, but it works well too.

** UPDATE for BONDS***

Here are all years since 1962

Here is the seasonal index.

Well there you have it….

And I leave you with AUD:JPY

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Best of luck unbiased, trading.

-Volar


About The Author
Mole
Mole created Evil Speculator amidst the chaos of the financial crisis in early August of 2008. His vision for Evil Speculator is a refuge of reason, hands-on trading knowledge, and inspiration for traders of all ages and stripes. You can follow him and his nefarious schemes at various social media waterholes below.