Chinese Yuan and Apple ($AAPL)

folks, knowing what’s going on in the currency market is so crucial .. not only does it completely dwarf any other market out there in volume/volatility but it also play such a crucial roll in the flow of funds, affects on commodities, etc.

back in 2015 I posted “the most important chart of 2015″ and it was the Chinese Yuan: https://bartscharts.com/2015/12/09/most-important-chart-to-end-2014-revisited-in-december-2015/

I was aware that $AAPL did a bunch of manufacturing over there and, in the past, had shown the correlation of the price of Palladium to $AAPL stock. You can check that out here – https://bartscharts.com//?s=palladium

it’s take a little bit of time – imagine that – but as the entire world was wondering ….”hmmm, I wonder if the Chinese are done letting the Yuan gain strength against the USD” $AAPL was making it’s all time high and digesting this same thought .. (see dashed red rectangle below).  The Chinese answered the question w/ a BIG EXPLOSIVE CANDLE … Answer: guess this move weakening the Yuan is real.

Now $AAPL. Note, when the “big move” came by the Chinese AAPL cracked and, since then, has been correlating nicely w/ the swings in the Yuan.

So, cliff notes, pay attention the Chinese Yuan and $APPL together …will this correlation break in the future?  Probably but for now as the Yuan continues to weaken against the USD, $AAPL sure seems to be having a tough time …

Let me know if you have any questions … continue to make it a great weekend wherever you are….

B

 

PS – here’s some work for $AAPL over @seeitmarket

 

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FXI … wonderful set-up coming. be patient ..

we have taken a look at the FXI and it’s set of “lower highs” since 2011.  we have also taken a look at it’s relationship to Copper and how they have ebbed and flowed w/ synergy. what we haven’t done is step back and analyze the BULLISH case for the FXI.  YES, I am posting something that could be a major BUY set up.  However, it still needs to fall a good 50% in nominal terms.  from 37 to 22.

why the bullish case?  go back to the low in 2009?  From 19 to 48 we can count 5 wave UP.  In the context of wave counting that is either a wave 1 or an A wave that will form a 5-3-5 correction.  labeled a-b-c.  either way, we have a nice BUY in/around the 22-25 area that, if the count is correct, take out 48 and perhaps even higher.

so, stay tuned.  w/ MAJOR long term patterns occurring w/ in the US and Global Equity market certainly appears a good thump could be coming but what an amazing set up to BUY…

FXI BULLISH opportunity
FXI BULLISH opportunity

Copper and China

the count (long term) for copper appears to have completed a very well defined 5 wave move … if this is correct, then perhaps we have a little larger rally to kiss the neckline and then down into much lower prices.  why is this important to China?  well, from a chart view they are aligned extremely nicely.  so, IF Copper is going to go down THEN so should FXI if the correlation holds …

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