Good morning!
Review
What a ride! A return to the fundamentals? Good news for the US on Friday and the Dollar got bought like if there will be a 100bps rate hike tomorrow. Too pity my huge longs got stopped out before they reached my target at around 1.48. But that's traders' life, eh?
Analysis
A trend change? Not for me. The (next) support at 1.4625 did hold and now we will see if there is a sustained move into the Dollar. I don't believe that. The reasons are simple again: Don't fight against the printing press of the FED. So I used that huge dip to buy new longs. We all know that this good US news are fueled by this huge monetary program and we all know that huge expenses lead to more debts. And we all know that the US can't pay this back at the current rate, so again, either they hike their rates to double digit values or they let the Dollar devalue. It's a somewhat sure one way bet.
Plan
Hold on the current longs but watch the support at 1.4625 closely. A close below 1.46 would open some technical down potential.
Open trades
http://www.xaron.net/dl/fx/2009/aud/...ons_141209.png
Prices
AUD/USD 0.9100
EUR/GBP 0.9020
EUR/USD 1.4650
GBP/USD 1.6250
USD/CAD 1.0640
USD/CHF 1.0320
USD/JPY 88.50
USD/NOK 5.6300
Gold 1120
Silver 17.20
Oil 72.00
Dax 5800
Dow Jones 10530
Account Summary
Starting date: 03-Nov-09
Starting Balance: $5,000
http://www.xaron.net/dl/fx/2009/aud/account_141209.png
Review
What a ride! A return to the fundamentals? Good news for the US on Friday and the Dollar got bought like if there will be a 100bps rate hike tomorrow. Too pity my huge longs got stopped out before they reached my target at around 1.48. But that's traders' life, eh?
Analysis
A trend change? Not for me. The (next) support at 1.4625 did hold and now we will see if there is a sustained move into the Dollar. I don't believe that. The reasons are simple again: Don't fight against the printing press of the FED. So I used that huge dip to buy new longs. We all know that this good US news are fueled by this huge monetary program and we all know that huge expenses lead to more debts. And we all know that the US can't pay this back at the current rate, so again, either they hike their rates to double digit values or they let the Dollar devalue. It's a somewhat sure one way bet.
Plan
Hold on the current longs but watch the support at 1.4625 closely. A close below 1.46 would open some technical down potential.
Open trades
http://www.xaron.net/dl/fx/2009/aud/...ons_141209.png
Prices
AUD/USD 0.9100
EUR/GBP 0.9020
EUR/USD 1.4650
GBP/USD 1.6250
USD/CAD 1.0640
USD/CHF 1.0320
USD/JPY 88.50
USD/NOK 5.6300
Gold 1120
Silver 17.20
Oil 72.00
Dax 5800
Dow Jones 10530
Account Summary
Starting date: 03-Nov-09
Starting Balance: $5,000
http://www.xaron.net/dl/fx/2009/aud/account_141209.png