[quote=FlyerInHi]Remember that it costs foreign reserves to defend a currency peg.
[/quote]

Only if you attempting to prop up the value of your currency. I.e. Russia with the Rubble was willing to sell foreign currency reserves to prop up the value of the Rubble. If you attempting to devalue you buy foreign currency reserves in exchange for your currency. To defend a peg it really matters whether the rest of the world thinks you currency is below market value of above market value. You buy foreign currency if they think your currency should be worth more (the case with china), you sell foreign currency if they think your currency should be worth less i.e. Venezuela, Russia, Ukraine.