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Eep! Australia just printed a weak employment change figure so I decided to just sit on the sidelines. The report showed a 29.3K increase in joblessness for December even though the unemployment rate managed to hold steady at 5.2%. On top of that, the November figure was revised to show a larger increase in unemployment of 7.5K. Now that can’t be good for the Aussie!

AUD/USD Retracement Update

Right now, it looks like the support around the 38.2% and 50% Fib area that I pointed out is still holding like a boss, but I don’t think it’ll stay that way for long. Word through the forex grapevine is that the World Bank slashed its growth forecasts in half while Greece is inching closer and closer to a default.

Time to switch sides, maybe? Hit me up if you’ve got a comdoll trade idea for this week because I don’t want to stay trade-less this month!

Chips, dips, and gimme those pips!

Happy time

Trade Idea

Good morning, forex friends! Ready to make some pips today? Check out my setup in AUD/USD and see if you can trade this with me!

This week I decided to take a look at AUD/USD’s rising trendline on the 1-hour chart. USD/CAD might have taken the crown as my best comdoll setup of the week last week, but I’m pretty sure I can also make pips off the Aussie. I can’t resist trends, after all. Bags, shoes, and even comdoll strength. I just love ’em!

If you squeeze your AUD/USD 1-hour charts enough, you’ll probably see a rising trendline that almost looks like a channel. I’m planning on entering somewhere between the 38.2% and 50% Fib levels but I have yet to determine my exact order details.

AUD/USD Retracement Setup

There was an opportunity to catch the trend a few hours ago with a Fib and a divergence forming, but stochastic wasn’t in the oversold area yet so I decided to wait a bit.

Good thing that fundamentals are still supporting comdoll strength! As Forex Gump recently pointed out, China’s GDP came in at a quarterly growth of 8.9% yesterday, which is faster than the expected 8.7% growth.

Add to that the positive home loans and Westpac consumer sentiment data that we saw early this week and we’ve got ourselves a recipe for a strong Aussie!

Now, before I set my orders, I just have to watch for Australia’s employment data coming up in a few hours, as well as any news from the euro region that might shift market sentiment. Analysts are saying that the euro is so oversold that threats of more downgrades are being shrugged off, but I still have to keep my guard up.

I’m still looking for a good level to enter the bullish trend right now, but do you have any ideas? Some say that 1.0370 is good enough, while others believe 1.0350 is still a better level. What do you think?

As always, you’re very welcome to share your ideas! I’m always checking my pages listed below, so you know where to reach me!

Chips, dips, and gimme those pips!

Happy time

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