Pair @ 1.4787. Still bullish on, but out of it because of slow movement. It is 13 pips from yesterday's high. Will check later to see how it does if it breaks the high.
And it happened exactly that way, the AUD/JPY touched 93.75 briefly and then dropped 80 pips after that. Too bad I was not in that trade...
The Japan Rate Decision report changed everything today on the early AM (New York time), now we have a strong uptrend on the Yen and its crosses, you might want to proceed with extreme caution.
@ 9250. Out of it. Will think about coming back to it if it becomes clear it heading up. Moving to two crosses: AUD/JPY and EUR/GBP.
AUD/JPY @ 93.50. Long side. 1/10th. (this is counter recent past trend) EUR/GBP @ .8322. Short side. 1/10th. (this is with past trend) To complete my thinking on this: I am thinking MINUS EUR/NZD and MINUS EUR/AUD 1/20th each). They are now at 1.6375 and 1.4590.
Seems like a very good trade. But as you know, EUR/NZD is a wild beast, I usually take a 30 to 50 pip profit and get out. EDIT: Sorry, I was looking at the wrong chart, ignore that last comment :eek:
Last week I had some fundamental conclusions which I did not stick to to the level I should have had, but the recent experiments have confirmed to me that my conclusions were sound. A main conclusion to myself back then was: Long GBP/JPY was a sound long side, and that AUD/JPY was not a long, but rather a short or a range bound (more short than range). I did not like to pay carry on long GBP/AUD, that is why I preferred long GBPY/JPY. In addition, AUD/JPY traded during asian sessions, so one may trade it without too much concern to about carry and boredom in waiting for market to move. I traded it earlier today on long side, after trading it before short side, to test whether my original view was correct. It turned out to be the case. So I reversed to my original view, and I now believe my posture should remain to short AUD/JPY rallies. I think I have a correct explanation why AUD is weak and why it makes sharp rallies, why JPY is weak, why GBP is strong, and why EUR can confuse people. I did not look at NZD, but I think it should be strong, but I have to review it carefully. All this are opinions and analysis for myself only.