Trading -AUD/USD

[Visaria]

Quote from xelite777:

Here is the chart.

thanks, but i didnt really understand it. Anyway, it's your method, works for u, which is great.

 

[Visaria]

didnt buy usdjpy before, but just bought it at 100.18!

 

[xelite777]

Quote from xelite777:

Short AUD/USD at 0.9320

Out at 0.9330 (10 pip loss), possible short re-entry later, I never argue with the market, it's better to take a 10 pip loss than a 100 pip loss.

 

[tradingjournals]

Taking sometime aside to think. For asian session, I would look at NZD/JPY on long side. When I check it earlier today, it was below 83. It could break 83 this evening if my thinking/intuition is correct.

 

[xelite777]

Quote from Visaria:

bought more AUD/JPY at 92.83

Too bad you closed this trade too soon, as shown on the chart I gave you, the AUD/JPY bounced off that new support line and is now at 93.60, 77 pips above your entry point.

 

[xelite777]

Quote from tradingjournals:

Taking sometime aside to think. For asian session, I would look at NZD/JPY on long side. When I check it earlier today, it was below 83. It could break 83 this evening if my thinking/intuition is correct.

Seems like the USD/JPY is looking for 100.50 ...

 

[tradingjournals]

Some of you following this thread may ask this question: how many pairs there are , and which pairs do people trade? There is a large number of (real and conceptual) pairs (at least N*(N-1), where N is the number of tradeable currencies). If one looks at the major currencies of the western world (including Japan), there are at least 8. That makes for 56 pairs already! Not all pairs trade directly, but I can make two trades to make my own cross.

There are a number of ways I would look at currencies. One way is: if I were to be long pair A/B, one way I would think of is: I am holding risk of A and making some else hold the risk of B. Therefore, I could think of it as buying relatively lower risk and selling relatively higher risk. If I were to be right and the market realizes it, it would reduce the price of B relative to A, which makes the ratio go back to neutral.

When A/B goes up, some people may erroneously think B has weakened or A has strengthened, when it could be the opposite that took place or a combination of both (or the opposite of the latter combinations). Absolute references may not be an appropriate way to think about it.

 

[xelite777]

Quote from tradingjournals:When A/B goes up, some people may erroneously think B has weakened or A has strengthened, when it could be the opposite that took place or a combination of both (or the opposite of the latter combinations). Absolute references may not be an appropriate way to think about it.

Well if A/B goes up, A must gain in value against B (the same A now buys more B), no?

there are at least 8. That makes for 56 pairs already!

Are you sure about that...?

The correct number is in fact 28 (currency pairs):
1 2
1 3
1 4
1 5
1 6
1 7
1 8

2 3
2 4
2 5
2 6
2 7
2 8

3 4
3 5
3 6
3 7
3 8

4 5
4 6
4 7
4 8

5 6
5 7
5 8

6 7
6 8

7 8

 

[tradingjournals]

I like to think of A/B and B/A as two different pairs because of some subtle differences.

 

[xelite777]

Quote from tradingjournals:

I like to think of A/B and B/A as two different pairs because of some subtle differences.

So for example saying that 1 GBP = 2 USD is not the same thing as saying that 1 USD = 0.50 GBP ??