Do you work all day in Australia, but want to make extra cash in the forex market? Whether you work outside or in an office it is hard to trade in the Australian forex market because you are busy. Taking company time to place a trade and research is looked at unfavourably and the fact is you can invest without doing so during working hours. You can trade on a foreign exchange rate such as the USD/MXN that is completely a North American trading option. When you get home the North American session is still open, which could place volume and liquidity in this pair to trade. It might be better than trying to trade the AUD/NZD during the day by placing a trade before you head off to work and selling it during lunch time.
Foreign Exchange Rate for USD/MXN
It is rare that you might find focus on certain currency pairs in a global sense. Yet, if you consider trading them you can find them and even find that there are experts standing behind these pairs. The USD/MXN seems more likely to trade for a couple of reasons. It was mentioned that they are both North American and thus trade in the same session with more volume. It is also something U.S. traders are going to think about. What if you are not a U.S. trader, but living in Australia looking at AUD pairings? You might think about foreign exchange rate AUD/MXN instead.
According to the Wall Street Journal and expert opinion the AUD/MXN needed realignment in December 2012. It also suggested that this pairing was worthy of trading. The forex charts will show if this is true or not.
In 2013 with July as the 3rd month examined the AUD/MXN was in favour of the MXN. While some consolidation happened in the past three months the pair actually decreased in trend from 12.60 to under 11.60. The trick for this foreign exchange rate is to ensure your Australian broker offers the pairing and not just USD/MXN.
If you take the last three months in the USD/MXN you see a trend up for the USD from 12.00 to over 13.30 before it started to drop in July on slightly unhappy U.S. news. A day chart for both will be more volatile, especially the AUD/MXN, so trading on a day is not as wise.
Finding Alternative Foreign Exchange Rate Pairs
Alternative currency pairs offer you a chance to think about trading for long term. The USD-AUD major pairings like USD/JPY or AUD/JPY might have a three month trend to trade, but most individuals trade on the daily foreign exchange rate. They go in for short term instead of long term.
You might find alternative pairs like the AUD/MXN where you have a clear three month trend. In this way you can look at a year period to decide if the pair will reverse or continue in its current pattern. It takes a few months to make some good money, but it is there and with a continuation trend there is less risk than the daily ups and downs.