One of the reasons why I haven’t closed my AUD/USD trade is that 1.0400 is still doing a good job at holding off the Aussie bulls. Not only that, but the rising trend line that we spotted last week is still valid! Will the 1.0400 major psychological handle become a support for the pair or will risk aversion drag the Aussie below the trend line?
AUD/USD just broke below the rising trend line last week but it seems to be pulling up for a quick retest. The 61.8% Fibonacci retracement level is right in line with the 1.0400 major psychological resistance and the broken trend line. Stochastic has already reached the overbought mark, which suggests that Aussie bears could pound really soon.
Good call Thanks
****AUD/USD - New Trade 11-19-12 ****
Trade = SHORT
Entry @ $1.0380
S/L = $1.0430
T/P = $1.0340
This is the chart from the trade taken on 11-19-12. The LIMIT Order was triggered which put me in the trade. The other LIMIT Order I placed at $1.450 was not triggered but I will keep it open because that level is still a valid 2HR Supply Zone. Price did climb all the way up almost hitting my S/L and formed a new 2HR Supply Zone between $1.0420 - .400 before it fell back down. I set another LIMIT Order to go SHORT @ $1.0405 which is the TriggerLine for the new 2HR-SZ just in case prices bounces back up.
If you’re looking for a day trade, then pay attention to AUD/USD uptrend on the 1-hour chart. Stochastic might not be anywhere near the oversold region, but the pair looks like it’s about to aim for the 1.0500 handle. Be careful once it reaches the major psychological handle!
AUD/USD has been making lower highs and finding support near the 1.0200 major psychological handle. The pair just hit the top of the descending triangle that’s forming on the daily time frame and appears to be aiming for the bottom as stochastic just crossed down from the overbought zone. Does this mean that a selloff from 1.0400 to 1.0200 is in the cards?
I thought the RBA rate cut would be the trigger to this avalanche, but I was wrong. Lets see what the week brings.
how long should we wait for this to give us sign lol still going up…
T/P was hit and clocked in 40pips on this trade. Good Pippin’ to All!
The Aussie bulls and bears seem to be at a stalemate near the 1.0500 handle as both try to break the tight 30-pip range on the 1-hour chart. Unfortunately, even Stochastic is in the middle ground on this battle. The pair is currently at the middle of the range, but stick close to your charts for a breakout!
Which way will AUD/USD break out? The pair has been consolidating inside a symmetrical triangle but it looks like Aussie bears could be in control at the moment as stochastic is pointing down. I wouldn’t be so sure though as the bottom of the triangle seems to be holding as support. A straddle setup could work out fine for this one!
How about a 15-minute chart for the day traders out there? AUD/USD is finding support near the bottom of the channel. Oh and have I mentioned that Stochastic has just left the oversold territory? A tight stop below the consolidation would provide a good R:R if we aim for the top of the channel. What do you think?
Based on this 4-hour chart, AUD/USD looks ready to bounce! There’s a former resistance turned support level right around the 1.0525 area while stochastic is crawling close to the oversold territory. Does this mean I should make some adjustments to my current short trade?
My opinion is currently bullish! So I would sell half your position for small profit and maybe even tighten your stop and let smaller position run. But as you point out the 1.06 area will probably provide some hard resistance and you could always short again if it fails to break there.
I’m staying out of audusd at the moment. Happypip, I think it depends on your timeframe - the 4h is as you point out, but look at the 1.06 resistance on the daily, that’s pretty convincing to me to stay as a spectator. The usd is holding it’s own against other currencies too, so I’m considering this pair to reverse and head back towards 1.00 depending on what comes out of US fundamentals in the next few weeks.
I agree with nick as I am not interested to trade this (even if I could) right now. Pair looks like it want to go higher but that 1.06 fig seems to be to strong. So this pair might end up ranging for a moment. Also watch that bullish divergence on the stoch. That could push price for a retest of the big fig.
Good luck