GBP vs NZD

This is an excellent setup, more downward motion ahead for this one.

I think this one is going to keep on going in a downward trend for 1 week then
Stop and Reverse - back up to where it started to come down from.
Another 800-1000 tics down then 2000 on the way back up -
All this for Christmas.

If it happens I'll be buying a round or two this christmas.


This really is an excellent FX trading period at the moment.

If you spread bet this one you can pay a spread of 60 with a stop-loss of 120
away - details on request.

Happy trading.

Reply on Spread betting for Tax Free Profits

GammaJammer said:

Sorry Damian, was with you all the way till you started talking about a 60 point spread there mate. Now you've lost me a bit.

GJ

Click to expand...

Okay From the top - you have a spread betting account with £1800 in it, you pay a spread of 60 tics to open a position (£600 at £10 per point - DEALING COST IS 60 TICS)

THEN A Minimum of 120 tics away for your guaranteed exit amd max loss if the market did move against you.

WORKED EXAMPLE

Assuming you entered at the time of my post (2:30 am) Thu at:

2.6380 - Price at entry (Sell to open £10 per point)
2.6320 - Break even point - if you close the bet here you are where you started.
2.6135 - Closing level (Buy to close £10 per point)

£1850 in five hours
Not bad going



Regards
Damian25

'Spread betting' - something I'm using

Okay to 'spread bet' ie gain a good amount of exposure then you have to pay a fixed dealing charge called a 'spread' - this is the spread betting companies dealing fee if you like based on a daily bet.

These are currency futures that you are trading in effect.

The spread of 60 is the fee to trade on the GBP vs NZD.
As mentioned this one will drop for another 5-6 trading days then go on a run right back
up to where it started.

Potentially for your £1800 that you put down you can make £15-20K easy before
Christmas - I think it a lucrative trade and one I will be aiming to monitor closely.

I will post my entry later.

Lets be realistic. Given the limited range of the variation between AusD and NZD you would be better off trading Aus against pounds. The nzgbp spread is virtual theft.