Trade Ideas

We have housing and inflation data coming out soon, and these our potentially volatile reports. The market has moved about 50 pips away from our orders, so we will cancel open orders to avoid event risk.

Sorry for the late update. For those of you who took the trade knows that CAD/JPY dropped down to 102.50 and did a little reversal bounce. It was enough to trigger our first profit target, but not enough for the second. After pt1 was hit, the pair dropped and the second half was stopped out at break even.

It looks like the pair was able to break through the 120.00 level as the Greenback weakened against the majors this morning. It looks like USD/JPY found support near 119.50, so from this point we will look for a retracement then go short. Here’s a trade idea:

Just a quick update on our short trade in AUD/USD. I’m still short in this position and I will keep it open as a still believe this pair is going down. Stochastics are still in the overbought area and starting to turn lower. Our order to short at 0.7850 was missed by 3 pips, so close

We reached full profitability as the second half of our short USD/CAD reached 1.1680. Dollar sentiment was bearish today as we saw the US trade gap rose to $61.2B in Dec – worse than the market was expecting. This was mostly due to a widening oil trade deficit as oil prices rose slightly from November to December.

Here’s a technical play on GBP/JPY. We seen lower highs on the 4hr chart and resistance at 235.35, which the pair is currently trading above. This is forming a descending triangle, in which i think is coming close to completion before we see a breakout. It’s not ready for a breakout yet, but I think the pair will continue to find support at 235.35 and rally from there.

We’ve held onto this trade for a while, and obviously it hasn’t done much in the past few days especially with the lack of data today. So, we will close this trade at 1.6240 for a small 10 pip profit and move on to the next opportunity.

As the market expected, there was no rate hike from the ECB this morning, but there were a few changes in Trichet’s speech afterwards. We saw the return of “strong viligance” and other hawkish rhetoric such as the “ECB still needs to act in a firm and timely manner.”

Our trade was stopped out as the Euro gained strength across all of the majors throughout the day, including the Yen. We were short a full position at a blended price of 156.65 and stopped out at 156.90. It’s a good thing we kept it tight because

There just wasn’t much action, especially with the mix of positive and negative US reports. Nonfarm productivity rose, while Unit Labor Costs and Consumer Credit came out weaker. So, it’s almost near the end of the trading session and

Our long position in EUR/CHF ran up as high as 1.6117 before dropping in during the afternoon US trading session on Swissy strength. As per trade rules, I closed our position at 1.6095 for a miniscule -5 pip loss on half our normal position size.

The second half of our trade closed yesterday at the adjusted price of 1.5330 and we locked in another +45 pips in the process. It’s a shame that we did get stopped out because the pair eventually hit the

Our first short order triggered during the Euro trading session and reached profitability for +30 pips. Our second trade order was triggered as well. Stochastics look to be in the oversold area, so with the current market price at .6815 I will close

Looks like we’re off to a good start. Let’s hope we can keep it going!

Final pip count for January…

Consumer confidence was released with a reading of 96.9, below the consensus of about 98.0. We also got the Factory Orders number coming in at 2.4% versus the consensus of 1.9%. So, mixed numbers at 10:00 am EST, which means we probably won’t see much movement for the rest of the day.

As expected, Dollar sentiment continued to be bullish in USD/JPY, but instead of retracing after the strong move down to 120.50, it continue south as low as 120.10. We just saw the ISM Manufacturing Index numbers out at 49.3, which was expected after all of the regional surveys came out lower than expected as well.

Final January pip total…

Our short term trade was stopped out at a loss as our position was whipsawed after today’s slew of economic reports. Again, another frustrating trade as we watched the pair go back into our direction and nearly reaching full profitability.

Our half position in GBPUSD was stopped out at -40 pips as we just saw weaker Chicago PMI numbers at 48.8 versus consensus of 52.0 and weaker monthly construction spending at -0.4%. This was another tough loss since we were actually up approximately