FOREX ANALYST PICKS
FOREX STRATEGIST
JOHN KICKLIGHTER
My pick: Short sterling-dollar and kiwi-dollar. Long loonie-yen.
Expertise: Fundamental analysis with risk management
Average time frame of trades: 1 day to 1 week
Significant volatility from last week didn’t translate into a decisive trend. That makes medium-term trade setups fewer and farther between. Of my setups from last week the Swiss franc-yen short hit its first target and the kiwi-dollar short from $0.8100 is awaiting momentum. New to the mix, I’m looking for cable to test its former channel support as resistance at $1.6075 and an alternative, risk-positive Canadian dollar-yen trade above ¥83.
FOREX STRATEGIST
ILYA SPIVAK
My pick: Short euro-dollar
Expertise: Global macro
Average time frame of trades: 1 week to 6 months
I expect Greece to successfully pass its new budget plan and pave the way for more EU/IMF aid, boosting risk appetite and the euro in the near term. Indeed, Greek PM Papandreou survived last week’s confidence vote on the premise of more austerity, so the decision is essentially made already. The ensuing bounce in euro-dollar will yield a short entry point in the $1.45-$1.47 area to capitalise on a larger dollar advance in the second half of 2011, as slowing global growth weighs on sentiment and drives safe-haven demand.
FOREX STRATEGIST
DAVID RODRIGUEZ
My pick: Long dollar-Canadian dollar
Expertise: System trading
Average time frame of trades: 2 days to 10 weeks
This time last week I called for dollar rallies against the Canadian dollar on the back of a sharp sentiment shift, and the dollar-Canadian dollar rally seems well underway. I would like to move my maximum risk to break even on the position, and I’m targeting a move significantly higher overall. The next major resistance is at parity between the two currencies (Ca$1.00), and a break targets a move towards Ca$1.0200.