Wednesday, 9 January 2008
Taking profits on GBP/AUD
On Sunday night, I'd sold some GBP/AUD based on the premise that high Australian interest rates (6.75%) were on their way up, and nearly as high rates in the UK (5.50%) were on their way down this year. Well, I just took exactly 3 big figures out of that trade in about 60 hours, so that'll do me for now. Bought the Jun '08 contract back at 224.02, (spot is trading 222.35).
5 Day Chart of GBP/AUD
As always, I'll try and remember and keep an eye on this one, to look for the re-entry. I still think we could have a solid break out of the long-term range as the UK economy comes to a screeching halt.
Profit: £1500 = $2941