Tuesday, July 23, 2013

FX 7/23

Opened a very small short position in GBP/USD as it was tapping the 1.54 resistance level.  I'll either trail it down through the GDP announcement on thursday, or let it stop out and try to re-enter short with a much larger position around 1.57.

Yen pairs still seem locked in consolidation and indecision.  Fundamentally short yen vs all other pairs.

Monitoring the AUD situation closely.  Its carving out a strong bottom, and while i'm fundamentally bearish AUD, the technical setup and current fed expectations make this out to be a good possible way to hedge my other trades.  Short GBP/USD + long AUD/USD would possibly give me favorable technical setups on either side of USD likely leading to a win-win scenario.  Waiting to see support/resistance is confirmed before entering here.  After a bit of correction in AUD I would be looking to flip short.

Edit: GBP/USD threatening to take out the resistance higher has prompted me to go ahead and open the AUD/USD trade as a hedge.  Both pairs currently trending upwards on dollar weakness.  Currently -40 pips on GBP and +35 pips on AUD for a neutral stance.  Monitoring both pairs closely, will open larger positions when the market makes up its mind.

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