Two Ways to Play: Australia Tightens Its Belt
Strengthen your portfolio in good times and bad.
The rate increases also have led to a rally in the Australian Dollar from 0.63 cents a year ago to today's intraday high of $0.90. The Aussies have been raising rates since October because of strong growth prospects fueled by demand for natural resources from China.
Analysts expect rate increases to continue by at least another half percentage point this year.
From the Bull Pen: Yesterday Amazon (AMZN) broke out from a near three week trading range. Normal expectations would be for a pause day which could be a good buying point. Those looking for follow through could buy the stock and set a 2 point stop loss.
From the Bear Cave: On Friday FTI Consulting (FCN) reported earnings that were not up to par. The stock broke to a new 2 year low on heavy volume and then followed through yesterday scoring another low. Those bearish could consider shorting the stock but be weary of a snapback by using a 2 point buy stop.
A Quick Check Around the World
Asian trading closed with the Nikkei 0.49%%, India 2.09%, Hang Seng -0.72%, Shanghai -0.48%, and Taiwan 0.26%.
Across the pond, we see the FTSE 0.60%, CAC -0.05%, DAX 0.55%, Swiss Market 0.14%, and Stockholm 0.56%.
In commodities, crude oil 0.38 is trading to 79.08 while gold is trading 3.70 to 1122.00 this morning.
A quick check of the EUR/USD -.002 to 1.3548 and the USD/JPY +0.1 to 89.14.
On the Radar
No economic events
Before: AZO, BYD, CRIC, CTB, DPZ, FDP, HERO, UNFI
After: ALJ, BGFV, HOV, JAKK, MATK, URS, PAY
09:00 Bank of Canada Announcement
01:00 Eric Roesengren Speaks
02:00 Naranyana Kocherlakota Speaks
Click here for the full trading radar.
Have a good day!
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