Technically Fundamental
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Banks are international and have subsidiaries i.e. one bank is normally owned by another bank. Each bank holds cash deposits of local currency. Therefore, at any given time, each major bank has billions worth of assets in hard cash of different currencies on the balance sheet which in real terms would fluxuate in value according to the forex markets.
To me, it stands to reason that there must be some super genius with the job of helping the banks capitalise on their cash assets through forex. I'm not talking about traders because they trade numbers-on-a-screen-illusion-money as opposed to tangible-I-can-draw-this-out-of-the-bank-money-that-actuall- exists-in-the-real-world.
If this is the case, this would mean that banks intentionally or unintentionally manipulate the markets to their benefit.
I've already been thinking about how could in theory turn a bearish market during the US session to profit by continually shorting then buying in during the Asian from their overseas branches then rinse and repeat.
I suppose I'm just wondering how they do what they do.
Am I talking sh*t again or does this make sense? Anyone else with any ideas?
To me, it stands to reason that there must be some super genius with the job of helping the banks capitalise on their cash assets through forex. I'm not talking about traders because they trade numbers-on-a-screen-illusion-money as opposed to tangible-I-can-draw-this-out-of-the-bank-money-that-actuall- exists-in-the-real-world.
If this is the case, this would mean that banks intentionally or unintentionally manipulate the markets to their benefit.
I've already been thinking about how could in theory turn a bearish market during the US session to profit by continually shorting then buying in during the Asian from their overseas branches then rinse and repeat.
I suppose I'm just wondering how they do what they do.
Am I talking sh*t again or does this make sense? Anyone else with any ideas?
