What do you think about AUD today

Discussion in 'Forex' started by TraDaToR, Aug 3, 2016.

  1. TraDaToR

    TraDaToR

    I am not a currency trader , so I am interested in hearing what you think about parking a bit of money in AUD cash.

    - It is one of the last currency to pay an interest on deposits( 1.5 % or so at IB ).
    - Historically it is quite low.
    - It is generally linked to commodities, which are going up this year.

    Thanks.
     
  2. CBC

    CBC

    I live in Auz,

    You are right in sa ying that we are a commodities / resources country, just look at the top 20 companies. I think the biggest oil producer is Woodside.

    Problem is that iron ore is very very low, oil is halfway on its way there to. Coal is not far behind. Iron is our no1 export, most of it gets sent to China to build railways / cars and buildings.

    Feeling here is that resources might be on the way out.

    AUD is at the lower end of price vs USD. Our interest rates got cut to 1.5 yesterday which is the lowest on record.

    I don't have any thoughts on direction. More of a chartist myself :). GL
     
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  3. Cswim63

    Cswim63

    It's right on the edge of turning down. It may not do so, but I think I'd wait until this dollar up move (USD) turns around. That could be awhile. Problems in Europe seem to be getting worse, not better. Generally i would say that positive equities, improving economies lead to money coming out of USD into the periphery. We seem to be turning in equities at least for the short term, and commodities are weak in general. Not a good backdrop for the currencies. Take a look at today's action in Nzd. I would suggest a EUR/AUD short instead, as the Aussie seems to be showing very good relative strength.
     
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  4. Cswim63

    Cswim63

    Aud/NZD had a good day as well.
     
  5. the only place I would park is USD. The only one who won't cut and will probably raise. Short term AUD is nothing but a proxy for China and commodities. Since I am more bullish than most on China, I like to get long, but have been short mostly down here and have the accrued interest to show for it.
     
  6. hmmm, I'm getting that sell signal right now as we speak. If nothing too major happens I'll be short aud.usd by the close.
     
  7. CBC

    CBC

    How r u trading it ET?
     
  8. I'm already short usd.chf so if I sell the same amount that will make me short aud.chf. These are just small starter positions but I will take a short quick profit if they move immediately in my favor. Otherwise, I will be short aud.usd and probably be adding very slowly over the next few weeks.
     
  9. CBC

    CBC

    Sori I meant u trading via a FX broker? Or the future / options, I trade 6A around the local opening time.

    Just wondering if u trade the future.
     
  10. no, spot only with ib, when I say close I mean 17:00, it's not really a close, maybe on a Friday for ib, but not the spot mkt.
     
    #10     Aug 4, 2016