Recently the Reserve Bank of Australia has decided to intervene in the currency markets. From my research the intervention has consistently been set at $0.60 USD level. This is offcourse due to the RBA having an objective to stabilise the domestic currency.
For a longer-term investment I’m planning on getting into a long position in the AUD/USD around the low 60 mark. I see this as a potentially low risk investment due to the RBA creating a short squeeze on speculators. The only risk factor is if the RBA does not have enough foreign currency reserves.
I'm sharing with you my simple idea and interested to see what you guys think…
For a longer-term investment I’m planning on getting into a long position in the AUD/USD around the low 60 mark. I see this as a potentially low risk investment due to the RBA creating a short squeeze on speculators. The only risk factor is if the RBA does not have enough foreign currency reserves.
I'm sharing with you my simple idea and interested to see what you guys think…