[Trading The News] Australia's Interest Rate and Retail Sales 02.08.2011

There is still no confirmation that the RBA(Reserve Bank of Australia) will be increasing its interest rates. At the same time, the retail sales for AU will be out too which I'm pretty confident it will turn out good. These 2 important indicators will determine the trade setup later.

AU RBA Rate
Forecast : 4.75%
Previous : 4.75%

The Plan :
An increase in the rate would send the AU rallying against the USD and other currencies. I would recommend buying AUD/USD.

AU Retail Sales
Forecast : 0.4%
Previous : -0.6%

The Plan :
We will be looking at a deviation of around 1% from the actual data. Anything less might still send the AUD flying but it might just be a short spike.
Buy AUD/USD on > 1% (1.4% above)
SELL AUD/USD on < 1% (-0.4% below)