June Trade # 7 - SELL AUD/USD

June 4, 2009 11:45 am (Manila)

Trade is out at -28 pips/lot for a total of -56 pips. It appears that better trade balance failed to sustain the dollar's strength yesterday. Tough luck!

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June 4, 2009 9:35 am (Manila)

SELL AUD/USD @ 0.8012
Stop - 0.8052 (-40)
Limit 1 - 0.7982 (+30)
Limit 2 - 0.7942 (+70)

Australian Trade Balance disappoints. This, combined with the technical reason of a failure on both the daily and hourly charts, makes me believe that this pair is headed lower before the interest rate announcements from the ECB, BOE and BOC.

The dollar rally began yesterday and this could be the start of a pullback for USD pairs. RSI, MACD and Slow Stochastics on the daily chart suggest a move down has began.