China's industrial production report was a disappointment, and this strategist has a way to play it.
As if a $2 billion loss by a major bank and swollen oil inventories weren't enough to dampen investors' spirits, China had to come along and report the lowest industrial output in three years. Todd Gordon, co-head of research and trading at Aspen Trading Group, has a plan for trading on investors' gloom.
"I'm short the market," he told CNBC's Scott Wapner. "I think that means you want to be long dollars in the FX market."
Gordon recommends buying dollars against the oil-producing Norway's krone.
He suggests waiting for a pullback, then entering the trade at 5.8400 with a stop at 5.8000 and a target of 5.9000.
How can you judge whether this will work?
"Watch the 1365 market level on the S&P," says Gordon, a technical strategist. "That is going to spell that dollar pushing higher if 1365 holds."
You can watch the discussion on the video.
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