Trade Ideas For EUR/USD, EUR/CHF, GBP/USD, AUD/USD, NZD/USD - UBS
The following are UBS' latest short-term (mostly intraday) trading strategies for EUR/USD, EUR/CHF, GBP/USD, AUD/USD, and NZD/USD.
EUR/USD: is holding the familiar levels. We prefer to keep it tight and play the intraday moves. The pair is still holding the lows from the last US NFP day after testing that level on Wednesday. We expect sellers to show up on any move above 1.0950. EURUSD should eventually head lower but for now range play remains strong. We have seen decent buying interest this week but rather limited reaction.
EUR/CHF: was in focus for once as it broke through a downtrend line at 1.0990 and seemed to attract good buying interest up to 1.0960. The cross has little resistance until the September high of 1.1050, which clearly is the target of this current move. Buy on dips to 1.0920-30 today and go long.
GBP/USD: Stay flexible intraday, but buy cable on dips to 1.4375-70 initially with a close stop below and fade 1.4500-25.
AUD/USD: failed to rally Wednesday morning when oil and equities tried to rebound, and headed lower when risk turned in the afternoon. Australia jobs data was slightly better than expected but the bounce was short-lived. The markets remain very nervous and price action should remain choppy with risk to the downside; we expect the pressure to increase on a break below 0.6900. Intraday resistance comes in at 0.6990-0.7010. Fade rallies towards that level and stick to shorts provided the pair remains below 0.7100.
NZD/USD: been trading in sync with AUDUSD, being caped at 0.6580-00 all week. NZDUSD broke below support at 0.6490-00 on risk selling in Asia and touched a low of 0.6568. Stay short if the pair remains below 0.6640. Intraday resistance comes in at 0.6525.
