Specter of ECB’s Liquidity Injection Offers Boost to Aussie and Kiwi

(eToro Blog) As investors await the official numbers from the ECB later this morning to determine the participation of today’s LTRO, mixed to the upside economic data out of Australia nonetheless helped the Australian Dollar once again hit the 1.08 level against its U.S. counterpart. On a month-over-month basis, retail sales figures for January were up from December’s -0.1%, and at 0.3% were in line with analysts’ expectations. On OpenBook, the AUD/USD is currently trading at 1.0815, slightly off the day’s high of 1.0824, and sentiment is predominantly bearish. Sentiment for the NZD/USD is also bearish, with the pair recently trading higher at 0.8423, also slightly off the day’s high of 0.8437.

In line with OpenBook’s dominant sentiment, trader adamlucky, earlier scalped a small profit on a short AUD/USD pair, and has several more open shorts in both. This trader,, who primarily trades the Aussie and Kiwi against the U.S. Dollar, allocating 52% and 38% respectively, has 136 followers and 20 copiers is set to post a 2.2% gain for the month and 19% for the quarter.

Going against the trend and taking the bullish stance is trader nitram1945, who earlier closed out three long positions in the NZD/USD pair, for returns of 8%, 26% and 29%. This well-diversified trader looks to have begun trading on OpenBook only this month, but is on track already to record a 125% profit for the week. Although this trader has no followers or copiers as of yet, this trader copies a few of OpenBook’s gurus, including Moksel1972. Of 96 trades, it’s apparent that the majority are independently opened thus making this trader worth following.

Analysts expect that the Aussie could be facing some resistance at 1.0845 and beyond that 1.0875, but the ECB’s LTRO could provide an additional boost if the participation rate is higher than expected.

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