Trade Closed: 2007-10-24 9:05
AUD/USD was to break upper resistance, unfortunately it was only for a short period of time as the pair met resistance at .9050 and traded lower.
Our trade stopped as a result, but look for the AUD/USD to continue higher on upcoming weak US housing data and more speculation on a rate hike in Australia. For now we take a small hit of -50 pips.
Trade Idea: 2007-10-23 15:05
Hello my friends! Markets have been pretty choppy lately, but it seems we may find an opportunity in AUD/USD with Australian CPI data coming out later today.
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.
Long AUD/USD at .9025, stop at .8975, pt1 at .9075, pt2 at .9125
Short AUD/USD at .8930, stop at .8980, pt1 at .8880, pt2 at .8830
Please remember to never risk more than 1% of your account on any single trade. Adjust position sizes accordingly.
Stay tuned as we may have to adjust our positions quickly based on market data. Good luck!
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