Hello Traders,
I'm now short on AUDUSD and here is why:
*Fundamentally,
The "Risk Off" sentiment and the flee to the "Safe Heaven" assets is obvious in the market now because the fear of escalation in the Middle East conflicts, we see the Gold was sky rocket on Friday (+3.40%), the CHF is so strong as well. So this will keep the USD strong as a "Safe Heaven" asset.
The US inflation is hot and the FED still hawkish and may keep the interest rates higher for longer and may have more rate hikes. On the other hand, the RBA couldn't raise up the interest rate /4.10%/ and have a dovish tone because inflation numbers in the Australia, although they are higher but slowing in a steady pace and GDP numbers shows a weak economy.
- GDP Growth: (AUD: 0.4% / USD: 2.1%)
- Unemployment: (AUD: 3.7% / USD: 3.8%)
- Inflation: (AUD: 6.0% / USD: 3.7% )
- Interest Rates: (AUD: 4.10% / USD: 5.50%)
*Sentiment:
- COT Report: shows /77.3%/ of the institutional open contracts are long on the USD, while /22.7%/ are long on the AUD.
- Retail Sentiment: 66% of retail traders are Long AUDUSD.
*Technical:
The price is in a down trend with lower highs and lower lows, and it made pull back to the /0.5/ which shows resistance and gives me a good Risk/Reward ratio.
Trade Safe!
I'm now short on AUDUSD and here is why:
*Fundamentally,
The "Risk Off" sentiment and the flee to the "Safe Heaven" assets is obvious in the market now because the fear of escalation in the Middle East conflicts, we see the Gold was sky rocket on Friday (+3.40%), the CHF is so strong as well. So this will keep the USD strong as a "Safe Heaven" asset.
The US inflation is hot and the FED still hawkish and may keep the interest rates higher for longer and may have more rate hikes. On the other hand, the RBA couldn't raise up the interest rate /4.10%/ and have a dovish tone because inflation numbers in the Australia, although they are higher but slowing in a steady pace and GDP numbers shows a weak economy.
- GDP Growth: (AUD: 0.4% / USD: 2.1%)
- Unemployment: (AUD: 3.7% / USD: 3.8%)
- Inflation: (AUD: 6.0% / USD: 3.7% )
- Interest Rates: (AUD: 4.10% / USD: 5.50%)
*Sentiment:
- COT Report: shows /77.3%/ of the institutional open contracts are long on the USD, while /22.7%/ are long on the AUD.
- Retail Sentiment: 66% of retail traders are Long AUDUSD.
*Technical:
The price is in a down trend with lower highs and lower lows, and it made pull back to the /0.5/ which shows resistance and gives me a good Risk/Reward ratio.
Trade Safe!
Comment:
The Price just missed the Stop Loss and now the trade is in profit.
Trade closed: stop reached