Week of: 05/30/22 – 06/03/22
The World Wealth Gauge is showing us bullish readings this time as well. But the question remains – Is this a real rally?
As I see it, we are still in a ‘Sell the Strength’ kind of an environment. If the market continues to rally, I’m not willing to buy it but sell at every rise. And this is also the time to have cash on the sidelines so that it can come handy to buy when prices come down lower.
Well, that brings me to our favorite trades, where we’ve been selling a few currency pairs.
One of the trades I’ve been talking about is the AUDJPY pair. I’m not changing my stance on this trade and it’s going to be one of my long term plays for this year.
Here’s a quick look at the two trade setups 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, here’s our original trade setup: Sell at 90.06, 94.50, 97.25, and 100. Our average price, if we sell at these four levels, will be 95.45. My profit target on this one is at 76.50. The average risk with this trade is 745 PIPS, while the reward comes to around 1,895 PIPS!
I’m seeing an amazing pattern forming for the AUDJPY currency pair at current levels and I’ll keep reviewing it in the coming months.
The other favorite trade which I’ve been talking about is the NZDCAD pair.
I’m proud that we decided to take 290 pips worth of profits in this trade last week. It was just the right plan.
As I mentioned last week, my new plan for the NZDCAD currency pair was to buy at 0.8210 levels. And that’s where the price is currently sitting at.
So, I’m looking to buy NZDCAD at current levels. My stop here will be at 0.8065 with a price target of 0.8600. We’re looking at around 390 PIPS of potential rewards with this trade.
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 Tysons 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.