Help me understand Nikkei futures (CME)

C

clacy

Ok, I'm probably a little slow here, but CME offers two versions of Nikkei futures. Yen and dollar.

Which one is better to hold when the dollar is strong? Assuming that you're long Nikkei futures, and trading from a dollar based account...

Thanks
 
I once tried the little Hang Seng contract. Had to use Idealpro on IB to exchange USD for Hong Kong dollars.
Then i could trade the futures contract which settled in Hong Kong dollars. No USD settlement.

if you have a choice maybe treat everything as a spread trade. Buying Nikkei with Yen is selling yen
and has been a good opening trade lately. Closing is selling Nikkei and buying yen.(covering lower)

Opening a short Nekkei positon with an account funded with USD is effectively USD/Nekkei and
that recently has been the way to go as well. Of course i am focusing on the USD leg being sold
to close at a higher price. Maybe the short Nekkei leg lost more. I dont know.

I am talking of a 401k account where you cannot borrow. Dont know if this applies to you.
 
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