Trade Closed: 2007-10-24 9:05
Trade Idea: 2007-10-23 15:05
Right now we’re seeing the Aussie rallying as risk appetites rise, rising gold prices, and speculation of a possible rate hike in Australia next month. This rise has brought the pair to significant resistance area just below the .9000 handle. Where to from here?
Well, the next move may be sparked by the Australian CPI data. A stronger than expected number should enforce the idea of a future rate hike and maybe push it past .9000. Weaker data may force profit taking on the recent rally, and push the pair back down to .8900.
With so much choppiness and uncertainty in the market recently, we will have an order ready for either scenario.
Stay tuned as we may have to adjust our positions quickly based on market data. Good luck!