SHORT EUR/AUD
@ 1.4150
SL @ 1.43
P @ 1.37
- RBA is in a much hawkish stance than ECB and the interesting thing is that ECB actually has more positive datas to be hawkish, however, they took a dovish stance due to the dovish position of Draghi and higher risk to manage the whole Eurozone. RBA on the other hand has been hawkish without too much fundamental datas, and the only strength has been coming from the commodity price and demands from China. The bond yield is an obvious spread with AUD at 2.972 and EUR at 0.471. Technically we have strong resistance zone at 100ema at 1.42 and weekly resistance at 1.4150. Because i’m already have one EURUSD short and one more pending, i want to get in at a good price and i’ll use 1.4150 instead of 1.41 but risk of missing the trade. SL at 1.43.
- The catalyst was the strength into EUR due to last week’s ECB less dovish stance but we think the fundamental picture of ECB has actually not changed at all and therefore when versus stronger currency, it is still a good currency to short.
- We’re at attractive level to short
- The risk is continuation of EUR strength but now all picture is in line.
- I’ll manage it with central bank stances
- Yes
SHORT EUR/AUD
@ 1.4150
SL @ 1.43
P @ 1.37