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Tuesday, June 30, 2009

Alternative Plans

I have big gains in the USD/CAD but the currency has to turn around sometime. I've locked in about half of my gains this month. When the AUD/CAD falls and takes out my stops, I will look to sell the EUR/USD and wait for the AUD/USD to take off.

Also, it is important to keep in mind that if the stock market rolls over long dollar trades will work well as people run to safety. A downward stock market move could be a big retest, or a smaller and short term bull market correction.

Oanda has a tremendous FX econometrics center that I just discovered. You can compare yeild curves, inflation trends, just about anything you can imagine for the major currencies.

I'll be testing two new brokerages in the comming weeks; FXpro and Oanda. FXpro recently won an award as Europes best FX broker. In addition to MetaTrader 4, they offer 500:1 leverage and CFD's on metals, futures, and selected equities. They're also experimenting with continuous interests payments instead of end of day swaps. I'm very excited to start testing these platforms.

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