Aussie dollar trade update
Aussie Dollar ( FXA , quote ): On Monday I indicated that you could take some profits on the Aussie dollar and put the short back on at .93050 area.
I was wrong. After one day of a pop the Aussie dollar has continued its descent.
Stay short in this trade and getting too cute on levels is something I also warn against.
There is a lot of volatility in the FX markets these days as a result of BOJ, FED and macro flows unwinding.
The AUD is right in the middle of these cross-currents and bottom line is nothing has changed fundamentally to support the AUD.