After retracing last week, EUR/AUD has been finding robust resistance at the thirty eight.2% Fib. simply take a glance in the slightest degree those dojis that formed! moreover, random simply crossed over in overbought territory, indicating that we have a tendency to might before long see a amount of selling!
On the basic aspect of things, i believe we're seeing risk aversion creep back to the markets, because the Greek debt deal did not specifically spark any real optimism. there is still a full heap of details that require to be pressed out, and brass still ought to approve of the asceticism measures. Couple this with the shortage of any progress with regards to the U.S. financial drop, and that i suppose higher-yielding currencies might be certain some pain over following week.
The key in fact, is choosing that non-safe haven to travel with. At now, i would rather place my cash on the Australian dollar (which has remained afloat throughout the past few months) than the monetary unit (which has been commerce to the whims of the market).
Sold EUR/AUD at one.2373, stop loss at one.2473, profit target at one.2200.
Anyway, I jumped in at market at one.2473 and am going with a 100-pip stop. i believe this could provide my trade enough elbow room to face up to volatility. i am ultimately targeting one.2200, that is simply below the recent swing low. As usual, i will be risking zero.50% of my account on this trade.
If you guys have any comments and suggestions on however I will manage this trade, be at liberty to hit Pine Tree State up within the comment box below!
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