AUD/USD Trading Positions
The AUD/USD pair, also called the “Aussie”, tells the trader how many US dollars (the quote currency) are needed to purchase one Australian dollar (the base currency).
Together with the New Zealand Dollar and the Canadian Dollar, the AUD is a commodity currency, that is a currency whose country's exports are largely comprised of raw materials (precious metals, oil, agriculture, etc.).
Important assets for AUD/USD
The pair AUD/USD often rises and falls along with the price of gold.
In the financial world, gold is viewed as a safe haven against inflation and it is one of the most traded commodities. Australia's dependency on commodity (mineral and farm) exports has seen the Australian Dollar rally during global expansion periods and fall when mineral prices slumped, as commodities now account for most of its total exports.
Related Trading Position Post
There’s no doubt that a strong belief in yourself in any context is going to, in many cases, be the difference between thriving and going down. Of course, this notion also applies to your trading. If you are saddled by limiting, irrational or negative beliefs about yourself or your trading, you are going to experience some tough times. Also, beliefs can be used as a tool; and like a new suit of clothes, you can try on a new belief that is designed to take the place of a belief that doesn’t work for you, just to see how it fits.
In normal market conditions, placing a 2 lot position is fine when you are looking to make about 50-100 pips. During a more volatile time, when the potential loss is 100-200 pips, it stops being an effective risk to reward ratio. To compensate, traders should look to taking on smaller trading positions, in this case only one lot as opposed to the average 2 lot position.
Perhaps you use Bollinger bands or Fibonacci? What about trend lines or moving averages? Have you back-tested and live-tested a few technical strategies and been disappointed with mediocre results?
Using trading positions can tell when a trend is overextended or perhaps beginning. When trading Seasonal Patterns we would like to see the Commercial traders in alignment with the Seasonal Research. Considering the Commercials use the Commodity on a daily basis they most likely have created the Seasonal Pattern in the past.
Currency Trading Positions
The purpose of the Trading Positions table is to provide a glance of AUD/USD as to where our dedicated contributors are currently positioned. You can access the original analysis reports by clicking on each position.