The effect of the U.S. Fed idiocy from last week has slowly faded away as expected. Manufacturing data out of the U.S. showed continued weakness and currency pairs have slowly started to approach their regular trend as they find their way back into their patterns. Housing data was mixed at best and traders had one week to realize that their trades in reaction to the Fed decision where overextended.
Traders started to take some profits and Eurozone developments should give traders more reason next week to correct their positions accordingly. September has not been as volatile as expected throughout the first three weeks, but we still have one left to go which should create some nice opportunities to either take profits or enter new positions. Below is a summary of all recommended trades for this week.Monday, September 17thAUDJPY
We recommended a short position at 82.50 with a take profit level below 81.50. This pair reached that level on September 20th and allowed traders to gain at least 100 pips in profits.Tuesday, September 18thCADCHF
We recommended a long position at 0.9500 with a take profit level above 0.9600. This pair has rallied from its low, but has not yet reached its take profit level. We recommend traders to remain in the trade if their time horizon permits it and wait for next week to take profits. Should this pair fail to reach 0.9600 in the next three trading sessions traders are advised to take profits anywhere above 0.9500.GBPJPY
We recommended a short position at 127.75 with a take profit level below 126.75.This pair reached that level on September 20th and allowed traders to gain at least 100 pips in profits.Wednesday, September 19thAUDCHF
We recommended a long position at 0.9700 with a take profit level above 0.9800. This pair came within pips of that level today and allowed traders to take roughly 100 pips in profits.NZDJPY
We recommended a short position at 65.40 with a take profit level below 64.20. This pair reached that level on September 20th and allowed traders to gain over 120 pips in profits.Thursday, September 20thGBPJPY
We recommended a long position at 126.30 with a take profit level above 127.00. This pair reached that level today and allowed traders to gain over 70 pips in profits.GBPCAD
We recommended a short position at 1.5845 with a take profit level below 1.5700. This pair has traded around the entry point and currently trades slightly above that level. We advise traders to remain in this trade and monitor developments next week. The stop loss level for traders who do not wish to hedge remains at 1.6000.
In total we had seven trading recommendations this week. Five were exited for profits of approximately 500 pips. In addition we exited our NZDUSD
from the previous week for a gain of 30 pips as well as our EURAUD
for a gain of 25 pips which brings our profits for the week between 550 and 600 pips, depending on your exact entry as well as exit levels.
We did exit a EURUSD
hedge as well as a GBPUSD
hedge to reduce our exposure to those two pairs. We are holding on to one more GBPUSD short position as well as two EURUSD short positions from last week and continue to do so until they approach our exit levels. We also have our two USDCHF
long positions that remain in our portfolio. Two additional short positions, one each in the EURGBP
, are still waiting to turn profits.
We hope that you enjoy your weekend and that we will see you back on Monday.