Boris and Kathy's FX Blog www.bktraderfx.com
11/07/2006
Today's Email Alerts:
Alert # 1 Getting Out of AUD/NZD
AUD/NZD has been the most painstaking trade that we have been in this past month. Fundamentals played out just like we expected but the currency pair has not budged. Earlier this evening, the Australian central bank raised rates by 25bp to 6.25 percent and was very bullish on both the economy and monetary policy. Prime Minister Howard was on the wires shortly thereafter commenting on the strength of the economy and the confidence of consumers. Yet the Australian dollar has been unable to rally.
We have sat through this trade for 2 days now and no longer want to be in it. The rest of the Australian data this week runs a stronger risk of coming out weaker than stronger while the inability of the AUD/NZD to rally, especially above the 1.1550 level (our entry) is extremely worrisome.
Therefore we are moving on and closing the 1 lot position that are short at 1.1535, taking a modest 15 point loss on the position.
There will always be more trades, this one is just not behaving well enough to be worth waiting for.
Alert # 1 Getting Out of AUD/NZD
AUD/NZD has been the most painstaking trade that we have been in this past month. Fundamentals played out just like we expected but the currency pair has not budged. Earlier this evening, the Australian central bank raised rates by 25bp to 6.25 percent and was very bullish on both the economy and monetary policy. Prime Minister Howard was on the wires shortly thereafter commenting on the strength of the economy and the confidence of consumers. Yet the Australian dollar has been unable to rally.
We have sat through this trade for 2 days now and no longer want to be in it. The rest of the Australian data this week runs a stronger risk of coming out weaker than stronger while the inability of the AUD/NZD to rally, especially above the 1.1550 level (our entry) is extremely worrisome.
Therefore we are moving on and closing the 1 lot position that are short at 1.1535, taking a modest 15 point loss on the position.
There will always be more trades, this one is just not behaving well enough to be worth waiting for.
posted by BKTrader # 11/07/2006 07:17:00 PM 
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