Oct 152012

6A 12 12 (1 Min) 10.15.12

10/15/2012 RBA Monetary Policy Meeting Minutes (1430 HI time / 2030 EDT)
Forecast: n/a
Actual: n/a
Started @ 1.0206
1st Peak @ 1.0194 – 1431 (1 min)
12 ticks

Reversal to 1.0218 – 1441 (11 min)
24 ticks

Notes: Expected short spike for 12 ticks due to the 25 BP rate cut 2 by the RBA 2 weeks ago that was unable to sustain most of its drop due to crossing the 200 SMA. With JOBB, you would have filled short with 1-2 ticks of slippage at about 1.0200, then had an opportunity to close out with about 4 ticks when it bottomed and began to retreat about 30 sec into the bar. If you were unable to get out, move your stop loss to break even and be safe. The reversal took over quickly and was able to recover the drop then extend the rally to the HOD for 24 ticks in 10 min before volume started to dry up.