My Favorite Trade: AUD/NZD Update Plus USD/CAD and EUR/GBP
March 17, 2010
Last week, I wrote that shorting AUD/NZD is my favorite trade. At that time, I said that if the currency pair rallies back above 1.31, then the uptrend has resumed and my call is wrong. However, AUD/NZD tortured me and came within 2 pips of 1.31 (1.3098) before reversing sharply lower. There is no major support in the currency pair until 1.2775, but as indicators adjust to the movements in price, so have support levels. The 1.2850 level is now the new support and that’s where I am targeting.
On a side note, I am kicking myself for not posting an official call because the moves have become deeply oversold in these currencies. However I think USD/CAD is going test parity (currently at 1.0105) and EUR/GBP is could fall to at least 0.8915 (now 0.8975).
Posted in Australian Dollar, Forex Technicals, aud/usd, forex blog
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March 17th, 2010 at 1:41 pm
It’s ok Kathy you don’t have to kick yourself, I’ve got you covered.. Just kidding
March 17th, 2010 at 9:17 pm
thank you， Kathy
March 18th, 2010 at 5:07 am
You have gotten a lot of good calls. You are my favourite FX analyst.
March 18th, 2010 at 9:35 am
Kathy,
I’ve been reading your comments from this blog and FX360 for years now and impressed on your analysis. Please come to Japan for your seminar.
I already took profit from shorting AUD/NZD yesterday just 100 pips, bought at 1.2910.
For GBP/AUD shorting, I made more than 600 pips.
Thanks, Thanks Kathy!!
March 19th, 2010 at 4:33 am
Your call to short AUD/NZD was almost perfect. Thank you.
March 22nd, 2010 at 10:45 am
I also like shorting AUD/NZD as it always gives good movements!
April 1st, 2010 at 2:37 pm
[...] an update of My Favorite Trades. In mid March, I moved on from AUD/NZD to USD/CAD and EUR/GBP. At that time, I said I was looking [...]
April 2nd, 2010 at 5:32 pm
[...] an update of My Favorite Trades. In mid March, I moved on from AUD/NZD to USD/CAD and EUR/GBP. At that time, I said I was looking [...]
April 17th, 2010 at 3:17 pm
These pairs are really the all time favourites. Gives lot of opportunities in short term as well as long term
Ashok