The currency pair I trade [Watertravel]

There are many currency pairs you can trade in FX, ranging from major to minor ones, and as a result, it often becomes a source of悩み (trouble or concern) as to which currency pair is best. Here, Noriyuki Mikami will teach us the currency pairs he trades and the reasons for choosing them.

※This article is a reprint and edited version of an article from FX攻略.com February 2019 issue. Please note that the market information described in the text may differ from current market conditions.

Noriyuki Mikami Profile

Mizukami Noriyuki. Representative of Bunny Market Focused. Born in 1978, graduated from Sophia University Faculty of Economics, then joined Sanwa Bank (now Mitsubishi UFJ Financial Group). After five years of branch operations, he worked as a foreign exchange dealer in London, Tokyo, and New York. In the Tokyo foreign exchange market, he is known as “Mizukami of Sanwa.” He served as Foreign Exchange Department Head at Dresdner Bank. From 1996 at RBS Bank, he served as Foreign Exchange Department Head and then Foreign Exchange Sales Department Head. From 2007, he has been the representative of Bunny Market Focused. He is well known for high-precision market forecasts based on long years of experience and knowledge.

Mainly trading high-liquidity currency pairs

To state the conclusion first, I mainly trade the dollar/yen, euro/dollar, and euro/yen. The reason is straightforward: trading major currencies with liquidity (ease of exchange) is safer, so I believe it is best. Therefore, I do not touch low-liquidity emerging-market currencies at all.

In addition to the above three pairs, I also trade pound/dollar, pound/yen, AUD/USD, AUD/JPY, NZD/USD, NZD/JPY, USD/CAD, and CAD/JPY. This happens when the timing of market moves becomes evident on Bollinger Five, a signal I have relied on for many years (details shown in the image below).

However, this signal only tells you when the move will occur, not its direction, so I combined it with various other analytical tools. In the end, I could not find a good combination, so I currently use it together with my own market sense.

I have been using this signal for about 30 years, and I can read the direction from the signal’s shape and my market sense, so my trading performance is fairly good. Of course, if a signal appears on my three main currency pairs, I also trade in light of my own market view.

What’s interesting about this signal is that it sends a signal not only at scheduled times for important indicators or events, but whenever the market moves in that situation. I think this is truly mysterious, even to me.