UPDATE ON CAD, EUR AND CHF
I would like to give you a recap before we get into tomorrow’s
Forex trade call. As you know, we have been watching the USDCAD
and have been for some time now. We were expecting a reversal
and we have seen that reversal occur down at 0.9060 and are
currently still in our long positions. This morning I covered a
portion of my long, just to limit the risk and to lock in some
of my profits and it seems to be continuing up fairly strongly.
So that is good news overall.
We are also still continuing to trade the EURUSD. As you know,
we talked about a level in the EURUSD at 1.4753 and that level
was hit almost exactly and we are still holding a short in the
EURUSD. The market is currently trading around 1.4550.
Additionally, we were looking at a level on the USDCHF around
1.1260 to 1.1230 last week. The 1.1260 and the 1.1230 levels
were broke as it made a low of around 1.1200 last Friday.
However, we did not get stopped out on this. So currently we
have some long trades from 1.1265 down to 1.1225 and the USDCHF
is currently trading around 1.1280.
Right now all of our positions are in pretty good shape. Again,
we are expecting the USDCAD to move on up to parity probably
throughout the end of the month the way things are going, and
so we will see a dollar-even on it and hope to be in it for the
entire ride.
LIVE TRADE CALL FOR TOMORROW
For tomorrow’s Forex trade call, we have the U.K. CPI release
at 4:30 am EST. There are several different components to this
release, and they are all fairly important. Row One on the RSS
will be our major focus, which is the EU Harmonized YoY figure,
and is expected to be 2.0%. We will be looking for around 0.2%
in deviation and a higher than expected number on this
particular release would signal a buy on the GBPUSD. A lower
than expected number would signal a sell on the GBPUSD. I
expect to see around 30-50 pips on this release if it hits our
trigger. Depending on where the price is prior to the release,
I may adjust that target one way or the other.
Our safe trigger was met in August and we had traders report
profits of 30-70 pips. To see a video of August’s trade,
please click on the link below:
This is our current outlook for this trade; however, it is
subject to change as market conditions may change by tomorrow.
Be sure to log in to the Live Trade Room 15 minutes prior to
the release to get my commentary on this trade.
