The trade: Long AUD/USD & Short AUD/NZD .
A nice correlation trade is setting up between AUD/USD & AUD/NZD . The spread in the correlation is currently 300 Pips, over the past year the max spread has been approximately 600 Pips.
We will be taking 1/2 our intended position size, if the spread continues to widen we will slowly add to our position. There is a good chance we see that happen over the next few days as the US & Australia both have unemployment numbers scheduled for release, with Australia's in the next few hours. If our timing happens to be accurate today and the spread begins to narrow before that data is released we will book our profit.