Week of: 06/20/22 – 06/24/22
It’s Wednesday and we’re back with our World Wealth Gauge reading, which is showing us some bearish trends this time. In fact, it is flashing massive RISK OFF!
Well, the markets have been acting strong this week so far – and with that in mind, I’m going to continue with my thesis of ‘Selling into the Strength’. Which means if the market continues to rally, I’m not willing to buy it but sell at every rise.
And that brings me to one of our favorite trades we’ve been talking about – the NZDCAD currency pair.
We have locked in over +290 PIPS in this pair from our original trade! But our updated trade on this pair didn’t work out as planned and we’ve seen around 150 PIPS worth of losses. So, as things stand today, we’re still up a net +140 PIPS, which is still pretty darn good in my view.
The question now is “What do we do with this trade?”
Well, here’s the deal – I still believe we are heading up to our target level of 0.8600.
So, my updated trade for NZDCAD is where I’m looking to BUY near the current price of 0.8127 with a target of 0.8600 and a stop set at 0.8020 level.
The reason I’m so bullish about this trade is because we’ve got a Head and Shoulders pattern playing out with a Crown formation for this currency pair.
Another interesting thing worth noting here is the currency pair is currently sitting at the same levels as we initially started talking about it which was around 0.8127. But the reason we’ve managed to book profits along the way with NZDCAD is how we managed the trade all this while. And that’s what I plan to do ahead – book profits while managing our trade from the resulting volatility.
We have around +475 PIPS worth of potential upside from this updated trade with our price target of 0.8600. And if we stack up the overall profits, we’re looking at 615 PIPS (140 PIPS plus the 475 PIPS) from our NZDCAD trade!
The other favorite trade which we’ve been following for quite a while is the AUDJPY. I still see an amazing pattern forming for this currency pair at current levels and I’m willing to sell it. I believe that the price will hit 76.50 levels, giving us profits, before it goes to 103 levels.
Here’s a quick look at the two trade setups we have on this currency pair…
- If you’re not in this trade, a conservative option is to sell on a break below 93.05. The target here can be at 76.50 with a stop set at 102.85.
- And for ones who’ve been following this trade, the original trade setup was to sell at 90.06, 94.50, 97.25, and 100 levels. Our average price, if we did sell at these four levels, comes to 95.45. My profit target on this one is at 76.50
Check out this week’s video as I review the above trades and show you how I’m looking to manage them ahead.
A big thanks to all of you for following Tyson’s Trends!
For more tips and picks, you can join me in my Money Flow Trading Room. It’s where I talk about market and trade strategies every week.