Forex Signals Brief for Feb 23: Time to Sell the Commodity Currencies
Rowan Crosby • 2 min read
It was another profitable day for the FX Leaders Team on Thursday. The boys grabbed two more winners, coming by way of Oil and the DAX. There was only the one blemish on the scorecard from the USD/JPY.
Thursday was also an opportunity to load up some short positions on the commodity currencies. Generally, we consider the commodity currencies to be the group of countries that export large amounts of commodities. So that’s Canada, Australia and New Zealand from the majors.
So with that in mind, we have two new short positions in the AUD/USD and NZD/USD. The USD fell away a touch and that allowed us to find some good opportunities to be selling.
The short positions add to our other long-term short position in the AUD/USD. It, along with the GBP/USD, bounced a touch, but the downtrend is certainly still intact.
Bitcoin (BTC) is back making headlines as we have moved back below 10,000. This is a big level for the cryptocurrency as if we can’t poke our head back above it, then there might be more downside ahead.
The Euro will once again be in focus on Friday as we have some important economic data releases out of Germany and the Eurozone. Keep the forex signals page open as it might just be a big end to the trading week.
Forex Signal Watchlist
Gold – The yellow metal found a bit of support on Thursday and we are still eyeing off a long position here.
GBP/JPY – We have major support around the 148 mark so there is a potential buying opportunity on the cards.
CAC – Equities are shaky and I am expecting a volatility increase on Friday.
Live Forex Signals
NZD/USD – Resistance Holds
A falling USD gave us a short entry in the NZD/USD. The Kiwi has been bouncing off the 50-SMA and looks to be headed towards our take profit. You can read more about Skerdian’s thoughts on the trade here.
NZD/USD – 240 min Chart.
AUD/USD – The Downtrend Continues
The AUD is still weak despite a little bounce yesterday. That allowed us to add to our long-term position with another short-term trade. The downtrend is strong here and we are looking good in Asian trade. The take profit target is still at 0.7650 in our long-term position.
AUD/USD – 240 min Chart.