Trade Closed: 2007-01-26 08:34 EST
We just saw the release of the Dec. Durable Goods report with a solid number at +3.1%. November’s number was revised up to +2.2%. The Dollar got a little boost from the news and our trade, which entered during the morning Euro trading session, hit pt1 and half of our position was closed locking in +20 pips.
I moved the stop on the second half to breakeven soon after the report, and it stopped out at breakeven real quick as the market retraced. For those who have not adjusted their stop on the second half, you can probably close your position slightly above breakeven. Congrats to those who caught some pips!
1st Half: +20 pips
2nd Half: +00 pips
Total: +20 pips
Trade Idea: 2007-01-25 23:41
For today’s pick, we’ll take a look at EUR/USD once again. We saw weak data from both the German Ifo Business Climate Index and US Existing Home Sales, and it looks like USD sentiment is still strong and traders ignored the weak housing data. We will continue to ride that sentiment with a short trade in this pair.
We do have event risk later today with the Durable Goods numbers at 08:30 EST and US New Home Sales at 10:00 EST. Both are projected to be positive numbers for the US economy, but of course, we’ll just have to wait and see.
So, if the pair rises we’ll jump short near the pivot area in between the 38% and 50% Fib line. Of course if the pair drops we will short below the previous low. Here’s a couple of trade ideas:
Good luck and good trading!