News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • RT @FxWestwater: Australian Dollar Forecast: $AUDUSD Uptrend in Focus as #RBA Holds Policy Steady Link: https://www.dailyfx.com/forex/market_alert/2021/03/02/Australian-Dollar-Forecast-AUDUSD-Uptrend-in-Focus-as-RBA-Holds-Policy-Steady.html?ref-author=Westwater https://t.…
  • Overall quiet reaction from $AUDUSD to the #RBA rate decision Most notable update likely has to do with them letting the markets know that they could do more adjustments to bond purchases given rising yields But that may have already been priced in... https://t.co/rol1p1WcAw
  • RBA: Bond purchases brought forward this week to assist market -BBG #RBA
  • RBA: Lending conditions remain sound, important to remain so. Committed to 3-year target, will continue buys as needed -BBG
  • RBA: Board will not raise rates until CPI at target range, global bond yield swings have made other assets volatile. Prepared to make further adjustments to bond buys -BBG #RBA
  • RBA: $AUD remains un upper end of range of recent years, economic recovery well underway and stronger than expected. Committed to maintain highly supportive monetary conditions -BBG #RBA
  • RBA: Wage and price pressures expected to remain subdued, does not expect conditions met to raise rates until 2024. Economy still has considerable spare capacity -BBG #RBA $AUDUSD
  • RBA leaves 3-year yield target unchanged at 0.1% -BBG
  • 🇦🇺 RBA Interest Rate Decision Actual: 0.1% Expected: 0.1% Previous: 0.1% https://www.dailyfx.com/economic-calendar#2021-03-02
  • The bull flag pattern is a great pattern to add to a forex trader's technical arsenal. Explosive moves are often associated with the bull flag. Learn more about the bull flag pattern here: https://t.co/yOEvLjKnct https://t.co/AnwvjoT15Y
Daily Observations: March 01, 2013

Daily Observations: March 01, 2013

Christopher Vecchio, CFA, Senior Strategist

Current Positions:

- Short GBPUSD from 1.5145 (1/2), Stop at 1.5225, Target 1 at 1.5000, Target 2 at 1.4840

Typical Time Frame: 1-day to 1-week

Recently Closed Positions:

- Closed Long USDJPY (1/4) from 90.35 at 91.85 for +150-pips.

- Closed Long EURCHF (1/2) from 1.2018 at 1.2218 for +200-pips; net gain +341-pips.

- Exited Short GBPUSD (1/2) from 1.5145 at 1.5220 for -75-pips.

The GBPUSD short taken as a result of the 8-/21-EMA hourly crossover signal (in conjunction with a bearish 8-/21-EMA crossover on both the 4H and daily timeframes) has been a bit of a rocky ride, considering that 1/2 of the position was stopped out yesterday at the exact high of the day. While this is frustrating, it underscores an important lesson: during volatile markets, it might be best to reduce leverage in order to give one's self some slack with stops. The other 1/2 of the position, whose stop was just 5-pips higher (at 1.5225 versus 1.5220) was never hit.

Now that the AUDUSD and the EURUSD have started to breakdown further, I'll be looking to resell rallies, so long as the 8-/21-EMA crossover system continues to point lower on the 4H and daily timeframes and volatility remains elevated - necessary conditions my momentum trading system.

As always, any other trade ideas and general macroeconomic musings can be found in the Real Time Newsfeed, or by following me on twitter @CVecchioFX.

I also host a weekly Live Trading Q&A in DailyFX Plus, on Tuesdays at 07:15 EST / 12:15 GMT, in which I delve deeper into my positions and thought processes behind my analyses.

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES