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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.

Update on 1 month GBPUSD call option @ 12 March 2013

We were given another opportunity to square off the option on April 2nd and we took it.

We sold the call option at the spot of 1.5240, against our breakeven of 1.5110, we realized a trading profit of 130bps or a 0.85% absolute gain.

We will stay sidelines till we get a better feel through our analysis, just where the GBP will be heading.

For now, the Daily Chart; is showing further weakness in the GBP with trend trading below a declining cloud.  The lowest level in 2012 was 1.5352, in 2011 it was 1.5467 and in 2010, it was 1.5085, so the current spot of 1.5086 is incredibly low for the GBP, however, technical analysis does not show that there is a base.

Update on GBPUSD 1 month call option @ 12 March 2013 BE: 1.5110

The GBPUSD peaked at 1.5266 on 26 March, against our breakeven of 1.5110, a very good 156bps unrealized trading profit.

However, the spot rate has since trended back downwards to the current level of 1.5147, a miserable 37bps unrealized trading profit.

Our mistake was not closing the position by selling the option earlier.  Nonetheless, we still have time before the option expires.

I believe the GBP will benefit somewhat from the mess and chaos in the Eurozone.  Let’s see.

Update @ AUDUSD 1 month call option executed on 12 March 2013 BE 1.0365

The current spot rate at 1.0434 is lower than the high reached on 26 March at 1.0495.  At the current spot rate, we have an unrealized trading profit of 69bps, not bad, however, we still have time before the option expires in two weeks time.

With all the uncertainly in the United States and Europe, I believe AUD will end up being the safe haven currency, therefore, it should benefit from further upside.

12 March 2013 @ EURUSD 1 month call option

We executed a 1 month call option; strike at 1.3100, spot was 1.3004, breakeven at 1.3181, premium cost was 81bps.

12 March 2013 @ AUDUSD 1 month call option

We executed a 1 month call option; strike  at 1.0300, spot at 1.0283, breakven at 1.0365, cost of premium was 65bps.