Orders Canceled: 2012-03-09 7:00
First of all, it’s in my 2012 trading resolutions not to leave a trade open over the weekend. Not only that, it also looks like the Aussie bears aren’t too keen on dragging the currency lower. A couple of hours ago Australia printed a worse-than-expected trade balance report, but AUD/USD only dropped by a couple of pips before testing the 1.0650 handle again.
And if that’s not enough to make me skittish about shorting the Aussie, today is also an NFP Friday!
Oh well, it looks like I might not follow up my NZD/USD win with another one for this week. But hey, there’s always next week, right?
Good luck trading and happy weekend, forex fanatics!
Trade Idea: 2012-03-08 2:58
My, oh my! With so much going on in the markets these days, it’s really tough to pick a pair and a direction. For one thing, the upcoming decision on Greek bond swaps could set off fireworks later on as it could decide whether Greece will default on its debt or not. You see, this particular issue has been one of the major themes driving the markets lately and it’ll be interesting to see how it will affect risk sentiment.
I noticed that the Aussie has several bearish factors dragging it down lately, such as China’s growth forecasts downgrade and the RBA’s not-so-upbeat rate statement. To top it off, gold has been selling off like crazy lately and that can’t be good for AUD/USD.
As for technicals, I’m looking at a potential retracement on the 4-hour time frame. As you can see, the former support area around 1.0650 to 1.0700 lines up with Fib levels so I will probably set my short orders there depending on the outcome of the Greek PSI announcement.
Here’s my plan:
Do you think this trade idea will work out? Or should I stay out completely what with the NFP coming up? As always, you know where to reach me!
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