This was meant to be a swing trade but I caved upon seeing strong Canadian jobs figures. Think I should stick to my guns and try again with this AUD/CAD long-term range?
Before reading on, don’t forget to take a look at my fundamental arguments for entering this swing long AUD/CAD position. Even though the RBA decision to stand pat reaffirmed my bullish bias, I got spooked by the strong rise in crude oil prices last week, putting downside pressure on this pair. To top it off, the latest Canadian jobs figure turned out much stronger than expected so I thought that a breakdown would occur.
As it turns out, the range support is still holding up pretty well so I’m still considering hopping back in. A girl can change her mind, right?
Unlike most of the other major currencies, there ain’t much on the docket for both Australia and Canada this week so I’m thinking this long-term inflection point could still hold. However, I’m also worried that the recent data disappointments from China, namely their retail sales and fixed asset investment reports printed early this week, could bring more Aussie bears to the game.
For now, I’ve chalked up a 70-pip loss or a tiny 0.05% dent on my account. No biggie, but I’m hoping to make it back and more with a really good trade this week. Got any ideas you’d like to share?
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