Forex Trading Ideas
If you’ve been following my signals you probably know that we’ve been making mad money on Euro, Australia’s dollar, New Zealand dollar, Canadian dollar ALL as traded versus the US dollar so I’m gonna tell you what’s up, on the forex dance floor.
Mr. Aussie broke below a super important support level of 0.76 as he dances against Ms. USA and Australia’s economy looks a bit concerning due to China’s stock downfall and the fact the RBA governor Stevens bluntly said that Mr. Aussie has yet to post larger declines against his other forex dancing partners.
On the bright side, The labor report for May shows that the number of unemployed people declined from 767K to 745K, which is why the jobless rate surprisingly shrank to 6.0%, a one-year low. Another welcome surprise was the previous reading being revised downwards from 6.2% to 6.1%. As for the labor force participation rate, it remained essentially unchanged at 64.7%, which means that the downtick for the jobless rate is healthy since it wasn’t due to people leaving the labor force.
We've got a new Aussie unemployment change coming out on Thursday and many analysts are expecting jobless rate to tick higher by 6.1% with a loss of about 2.1K jobs. The labor force participation rate, meanwhile, is expected to remain unchanged at 64.7%.
If the actual number comes in as expected, Mr. Aussie might not react much, but a worse than expected number? OMG.
AUD/USD: Short position below 0.75 target 0.73 stop loss set at 0.78
OIL & FOMC
Prices have been sliding and that only means more strength for the US dollar which transferred directly to our forex accounts, and don’t forget that we have the FOMC meeting minutes published on Wednesday which could give us even more clues for a potential September rate hike.