So, the Fed raised rates, and in the FX markets the outcome appears to have affected the Aud$ more than any other currency. Given that the RBA are expected to remain on hold through 2019 while the Fed are signalling 2, possibly 3 more hikes in 2019, the Aud$ has come under immediate downside pressure and appears to be in trouble on all fronts, including even the Kiwi, where a run towards parity could even be on the cards.
The US$ is generally firmer although the EU majors are currently holding up reasonably well. I still think that selling the Euro or Chf is a decent medium term plan.
On the crosses, being short Aud$ against almost anything seems to be the plan although elsewhere, things do look a little murky so best left alone. If stocks continue to capitulate, trading long Jpy against the US$ or the crosses would be an idea to consider.
Gold has turned lower after briefly spiking to 1258 and, assuming further US$ strength, I prefer to trade from the short side.
Stocks look horrible and further downside pressure seems inevitable.
*Trade of the day: December 20, 2018; 7:24 AM(AET)
*This is a personal opinion only, based on the look of the table below, and carries no guarantee of success.
All trades are good till 5.00pm NY time. All “in the money trades” should have the SL raised to break-even, or managed manually. All “out of the money trades” should keep original SL in place.
Sell AudUsd @ 0.7150. SL @ 0.7205, TP @ 0.7020
Buy EurAud @ 1.5900. SL @ 1.5800, TP @ 1.6100
Sell EurUsd @ 1.1410. SL @ 1.14650, TP @ 1.1310
Sell US$Jpy @ 113.00. SL @ 113.80, TP @ 111.80
Sell S+P @ 2540. SL @ 25650, TP @ 2480