I have been keeping track of your gbp/nzd trade the last couple of days and I compared it to the nzd/usd pair. I was wondering why you decided to trade the gbp/nzd instead of trading the nzd/usd pair? They both are in a very strong trend. Also with the gbp/nzd the spread is much larger than that of the nzd/usd making it appear, at least to me, that it's less expensive to get in and out. Another thing is that one would make more per pip with the nzd/usd.
Actually I am in long the nzd/usd as well. I have been very busy so I have not gotten a chance to post most of my trades in the journal. However, actually you make more pips with the GBP/NZD. I have been short since 2.32 and added more onto my position at 2.19. I went short on 9/16/2009. I am currently up about 1,700 pips. I went long the nzd/usd 9/7/2009. On the close above the .6870 region at .6913 and am currently up 460 pips as you can see the nzd/usd is at only .7379 currently. So I have been long the nzd/usd longer and made only 460 pips while I have been short the gbp/nzd shorter and made about 1,700 pips. That is my reason for the trade. If you take a look at the gbp/usd. You will notice that from September the pound has been the weakes performing currency as a result of the remarks from the BOE governor and its quantitative easisng measures. In short, It is widely considered by most analysts to be one of the last countries to raise interest rates and it already has an abysmal interest rate of .5%. The NZD on the other hand is highly correlated to gold, has taken no quantitative easing measures, and will most likely be the second major central bank to raise interest rates. So I crossed one the strongest currencies with the weakest performing currency to make 1,700 pips. the equivalent of $17,0000 with one standard lot and $51,000 with three standard lots. Whereas. the nzd/usd has only netted me $4600 with one standard lot and $13,800 with three standard lots. And as for getting in and out of the market. I tend to trade with a longer time bias. An object will stay in motion unless outside forces are acted upont it. That is to say, that while the current fundamentals remain the same, gbp/nzd is trading with a downward bias and there is no need to liquidate. In fact, I have been adding on. But mainly, I want you to see that you do make alot more pips with the gbp/nzd from september 16 till now than the nzd/usd.
