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Category Archives: Trades

These is where we share with you the trades that we have executed. We also track our trades for overall profit/loss reconciliation.

15 Nov @ UK Claimant count and employment change

One of those much looked at economic data for the UK since it is a services economy.

I decided to place my straddle with the following details: –

Stop if Offered at 1.3175, Spot at 1.3197, Stop if Bid at 1.3215

Data came out mixed; claimant count was done, but job creation was poor, unemployment rate held constant at 4.3% and average weekly earnings edge upwards.

Market initially stayed quiet not knowing what to make of it and then it started selling off the GBP, I suppose the market took issue with the poor employment change or job creation data.

It triggered my Stop if Offered leg and I follow the market till I felt there was no more steam so I decided to square the trade at 1.3140 for a trading profit of 35bps.

Ok lah……….not too bad for the start of trading this week after coming back from a driving holiday in Malaysia……………..eat and drink.

15 Nov @ 1 day USDJPY call option

I am deciding to take a small punt and buy a one day call option on the USDJPY with the following details: –

Strike: 113.20

Premium: .030

Breakeven: 113.50

Let’s see.

USDJPY……….Divergence point?

4H chart shows that the USDJPY is about touching the 200DMA.

At this point, the USDJPY can rebound back to 114 or meltdown to 111.70, how will it move.

Is this a buying or selling opportunity?!

Let’s see whether it can defend the support level of 113.20?!

Is the AUDUSD entering a period of softer AUD?

I totally missed this………………SHOOT!

Looking at the Daily chart, I noticed that spot crossed the 200DMA on November 4th at 0.7697.

Does it mean that the AUD is heading for a protracted softening?

I have already bought two call options with breakeven averaging 0.7710………about 130 basis points away right now………….hmmmmm……..will I have a chance in the next three weeks for the AUDUSD to recover?

Let’s see.

14 Nov @ 1 mth AUDUSD call option expiring Friday, December 14th

Saw the low in the AUDUSD this morning and decided to add on to my earlier call option by doing another 1 month call option expiring Friday, December 14th with the following details:-

Strike at Spot: 0.7620

Premium: 72bps

Breakeven: 0.7692

Let’s see.

Thank you BOE!

As it turned out, this was a classic case of buy on the rumor and sell on the fact.

When BOE announced the hike, plus the votes and keeping asset purchase flat, the GBPUSD went on a meltdown.

I took profit at 1.3120 for a trading profit of 115bps.

Many thanks BOE and GBPUSD!

Nov 2 @ Bought a one day put option on the GBPUSD expiring Friday, Nov 3rd

You know the classic story when they say buy on rumors and sell on fact.

Well, I felt that the GBPUSD kind of overshot, so I decided to gamble alittle by buying a small position by way of a put option for one day expiring on Friday, Nov 3rd with the following details: –

Strike at Spot: 1.3290

Premium: 55bps

Breakeven: 1.3235

Let’s see.

Nov 1 @ Bought a 1 month AUDUSD Call Option expiring Friday, Dec 8th

I feel that the AUDUSD is somewhat oversold, given the strong economy, strong exports, stable housing, low interest rates, good employment and great weather.

So I decided to buy a one month call option with the following details: –

Strike at Spot: 0.7665

Premium: 70bps

Breakeven: 0.7735

Currently, it is trading at 0.7700

Taking profit on the GBPUSD call options

I saw the GBPUSD peaked at 1.3271, but momentum seemed to wane, so I made a decision to sell the GBPUSD call options.

My breakeven for the two options worked out to 1.3149 and I sold off the options at 1.3268 for a trading profit of 119bps.

I really doubt it will go beyond 1.33.

In any case, it’s important not to ignore a handsome profit when it’s on the table.

UK Prelim GDP

Decided to take a punt on this data as it is crucial and will probably have an impact on the GBPUSD.

I decided to put on my straddle with the following deatils: –

Stop if Offered at 1.3100, Spot at 1.3122, Stop if Bid at 1.3145

As it turned out, preliminary GDP came in at 0.4% versus forecast of 0.3%, GBPUSD spiked up, triggering my Stop if Bid trade.

Decided to take profit on half the trade at 1.3200 for a trading profit of 55bps, it’s now trading at 1.3190.

Tonight is durable goods orders in the US, better not take any chances, lock in the profit first, I still have my GBPUSD call options.