FXI / FXP Trade Set-up

Friday I posted FXI / FXP update , this is a current June $36 put position, but as I said Friday,

"I still like it a lot and would consider adding here if I didn't already have the size position I want. Another way to play FXI short would be FXP which is the UltraShort (2x leveraged China 25)."

FXI short or puts or FXP long looked great Friday, we are getting a little intraday backing and filling and it looks like another opportunity.

Since Friday, FXI has lost ground and FXP (the UltraShort mentioned) has gained, but it's the longer term positioning I like here, I also think "Short China" is a decent way to diversify. FXI has significantly more volume than FXP (the Ultrashort) and I do like the 2x leverage, however I'm not crazy about the significantly lower volume.

We'll have to see how the charts develop as FXI moves lower, but for more perspective, here are some charts I didn't include in Friday's post, FXI / FXP update and today's.

 FXI intraday backing and filling 1 min

That chart is already going negative so it's giving a little better entry than earlier today, not quite as good as Friday, but still a great looking area for either an FXI short/put or FXP long.

This is the 3 min FXI chart so the backing and filling today isn't very strong at all, in fact it looks like it's just seeing heavier distribution in to that backing and filling.

This 15 min chart, leading negative FXI wasn't included Friday,

nor was this 30 min leading negative.

It's not surprising a little support was found to allow today's backing and filling considering gap support right in the area, but I doubt that holds very long.