Dollar breached the 100 mark again - a significant technical move in the forex market

[AsifAmeer]

All major Newspapers reporting this development, unlike the last time

http://www.siasat.pk/forum/showthread.php?157319-Dollar-hits-Rs100-in-open-market (the previous time it breached Rs100)

This is the 2nd time in history that the dollar has touched Rs100. Even when the dollar went below 100, it stay within the 3% band. This is of very significance in technical charting terms. When the dollar breaches Rs101, expect a sharp increase from Rs101 to higher.. It will not be a slow steady drift upward but a fast solid move.

Funny thing is, everyone in the market knows that the State Bank and the Primary dealers are manipulating the the dollar rate downward. Here's a Retweet from Sahar Ahmed of DAWN's business Reporting

And I too have shared several times before how the State Bank is twisting the dollar rate using SWAPS and forward contracts. And these positions are visible the State Bank's very own liquidity reports

My advice : Be vewwy vewwy kherful!

 

[Mughal1]

Do you think there could be an invisible mechanism in all this. I mean why is it that currencies in western countries and west supporting currencies are stable but in countries that do not support these counties currencies are unstable? Could it be the case that some internal and external crooks are working as team to try and destroy pakistan by transferring what pakistan has for peanuts?

 

[rahail]

@asifameer

Please Asif, tell me what to do? My employers sends me money through western union. He pays in dollars and I get a rate of 96.8 for a dollar after the exchange rate forced by WU. Shall I ask my employer to pay me in dollars? Please give me a brotherly advice.

Thank you very much.
Rahail

 

[AsifAmeer]

All the whales, sharks and dolphins cannot produce flooding from the ocean.

The only crookedness I am seeing at the moment is the ministry of finance tossing State Bank all over the place while State Bank juggles to push the value of dollar down by selling naked Forward contracts in the market against the dollar. I bet that is pissing off IMF too. You see that $6.431billion amount? Thats the crookedness! If any other country had done that against Pakistan, Pakistan would have yelled bloody murder.

Do you think there could be an invisible mechanism in all this. I mean why is it that currencies in western countries and west supporting currencies are stable but in countries that do not support these counties currencies are unstable? Could it be the case that some internal and external crooks are working as team to try and destroy pakistan by transferring what pakistan has for peanuts?

 

[AsifAmeer]

I know families here in the US who send money to their old parents but the Govt wants its share 1st. When they try to call Pakistan, Govt raises its taxes on International calls.

Koi aysi family dhondho jis k bachay US ki Universities mein parh rahay houn. Jinhein US mein dollar ki zaroorat ho. Apne employer ko kaho o wo un k bachoun ko college fees de dein aur tum wo amount un k parents se Pakistan mein collect ker lo.

Eak aur cheez ker sakte ho. Ask your employer to pay you in BITCOIN. wo amount to direct tumharay phone par aa jae gi. No banks involved. Period. Lekin its not easy setting up Bitcoin accounts. Research that in Pakistan.

About receiving money in dollar, I can assure you with a high certainty that every foreign currency account is going to get frozen up in the coming months. Jis k dollar banks mein hain, un ko KUCH NAHI MILNA.

Only practical advice I can give you is buy and hold foreign currency CASH for short term liquidity needs. Buy and hold precious metal for long term savings. Do not buy or hold any form of Govt bonds. And stay away from banks.
http://blogs.thenews.com.pk/blogs/2012/06/the-looming-currency-crisis/

@asifameer

Please Asif, tell me what to do? My employers sends me money through western union. He pays in dollars and I get a rate of 96.8 for a dollar after the exchange rate forced by WU. Shall I ask my employer to pay me in dollars? Please give me a brotherly advice.

Thank you very much.
Rahail

 

[Pakistani92]

oh my GOD this a one biggggg mess we are in......

 

[Quicqsolution]

InshALLAh Yehi Hukomat rehi tu @@ PPP and PMLN tu dollar 1000 rupay tak ho jay ga.. mai ne 10 Dollars save kr k rekh diye hian .. 10 hazar ka tv lon ga :D

 

[ha12oon]

when you say stay away from banks, whats your opinion on the solvency of the main banks, I personallydon't trust them, however my parents and alot of the older generation of overseas Pakistanis have been accumulating life saving in these banks. are they safe?, I don't want to trigger a mass withdrawal but alot of people have been bringing their funds back, and divesting by selling property and land in the Azad Kashmir region recently.
what's your view of the situation?

 

[albany]

geay Bhutto.
we are rapidly following to get the status of somalia and zimbabwe

 

[AsifAmeer]

This is sadly so very true. My own father did not heed me 5 years ago when I suggested he should liquidate his positions in Pakistan and simply move them out. He bought into the whole "emerging markets are strong" dogma. I personally know a few families who have FCA's in Pakistan in which they are saving their kids college savings. They are going to get wiped clean. period. Here's whats going to happen. All of a sudden 1 morning you will get a breaking news that Govt has frozen the FCA's for a few days. You will see rupee get devalued overnight at a drastic pace. Then the ban on FCA will be extended but its holders wud be given an option to liquidate their dollar into Rupee at the previous rate. Its going to be the same story you saw in 1998.. The same story you say with Argentina in the 2000s. It NEVER changes.

When I say stay away from banks. I mean do not leave foreign currency in bank accounts.

when you say stay away from banks, whats your opinion on the solvency of the main banks, I personallydon't trust them, [HI]however my parents and alot of the older generation of overseas Pakistanis have been accumulating life saving in these banks.[/HI] are they safe?, I don't want to trigger a mass withdrawal but alot of people have been bringing their funds back, and divesting by selling property and land in the Azad Kashmir region recently.
what's your view of the situation?

 

[lurker]

Or.. open a Dollar or UAE Dirham account in Dubai and keep your money there.

 

[hans]

Correct me... if all goes as Asif bhai say, I be more poor .... and in much worst finincal condition.

We should Thank Allah SWT, for what we are and what we shall be.... Ameeen.

Its called collective punishment.

 

[lurker]

Correct me... if all goes as Asif bhai say, I be more poor .... and in much worst finincal condition.
We should Thank Allah SWT, for what we are and what we shall be.... Ameeen.
Its called collective punishment.

I pray to Allah Swt that you or any of my Pakistani brethren do not have any difficulties and that you all live happy and prosperous lives among people who you love and those who love you. Ameen.