Trade Ideas For EUR/USD, EUR/CHF, AUD/USD, NZD/USD, USD/CAD - UBS
The following are UBS' latest short-term (mostly intraday) trading strategies for EUR/USD, EUR/CHF, AUD/USD, NZD/USD, and USD/CAD.
EUR/USD: is trading right in the middle of the range from the first two trading days of the year. Play the intraday moves and wait for a break.
EUR/CHF: is trading right around a downtrend line from the September high, so the break above 1.09 could trigger some more buying interest in the short term.
AUD/USD: traded bid all morning on Tuesday but was sold off in the afternoon, as on Monday, as the US dollar found buyers. The pair went back up after the better-than-expected China data and a 'stable' USDCNY fix that triggered a bit of a correction in AUDJPY and EURAUD in Asia. Sell AUDUSD rallies to 0.7110 as risk remains fragile. Oil is still close to $30 and equity markets are shedding half the gains from Asia.
NZD/USD: remains rangebound. We would continue fading rallies between 0.6580 and 0.6630 with stops through 0.6725.
USD/CAD: continues to track the moves in oil prices. The pair held support at 1.4180-90 yesterday before touching a fresh high as the oil rally was short-lived. Intraday support remains at 1.4180-90 and risk of OPEC comments is still a factor that shouldn't be ignored. Watch 1.4320 and 1.4505 as next resistance.
