Intraday Market Thoughts

Aussie, GBP or Euro?

by Ashraf Laidi
Sep 19, 2013 18:12

Is Aussie still preferable to the euro, or are matters turning for EURAUD? And since GBP did so well against most currencies, then how will it fare against the rising Aussie? GBPAUD rose 21% since April, but the last 3 weeks were down. Where is the optimal trade? AUDJPY, AUDUSD or AUDCAD? One year ago this month, the ECB rocked financial markets by announcing its readiness to unleash the OMT. One year later, the Federal Reserve sent global stocks to new record highs by deciding not to taper. Our Premium Insights from last night issued 3 hours before the FOMC announcement were longs on EURUSD, GBPUSD and AUDUSD, which hit all targets with the exception of GBPUSD, as it awaits the final target at 1.6195. But both shorts in gold were stopped out.

Today, we issue a fresh round of Premium Insights with 2 new trades in each of EURUSD, AUDUSD and AUDCAD, while we backtrack on gold to re-assess the medium term dynamics. We will avoid JPY pairs for now ahead of a looming  announcement on Japan's consumption tax. And don't forget the looming announcement from the White House regarding the new Fed Chairman.

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