I know not what’s going to happen. What I know is that I have a small loan denominated in JPY while holding the collateral to pay it in CHF. This is managed with a set of rules that I detailed on my intro post.
If JPY margin rate goes to 3%, the loan is paid with the CHF collateral
If CHFJPY goes to 190, the loan is paid with the CHF collateral
If CHFJPY reaches 200 sell 1.5K to mitigate risk and take some profits
If CHFJPY reaches 205.53 sell 4.1K
The remainder will be paid for by the dividends
When CHFJPY reached 200, my order was executed, and now I’m waiting for the next event to occur.
I’m confident on the relative devaluation of the Yen in regard to the Swiss Franc, but if I’m wrong, I have an exit strategy.