AUDUSD About To Move
AUDUSD continues to trade in an interesting formation here. Following the breakdown below the rising trend line from last year’s lows, price recovered off the .7564 level trading back up to around the .7824 level which holds the potential to be the right shoulder of a large head and shoulder pattern. With the MACD indicator having turned bearish here, I will be monitoring any break below the rising trend line, targeting the .7564 lows initially and .7413 thereafter. This idea will be invalidated on a further break of the .7824 level, in which case, bulls can target a move up to .8003 next.
Key Data to Watch
Aussie unemployment data on Thursday (Weds overnight) will be the key data to watch for this pair. If the unemployment rate is seen falling again over the last month, this will see AUDUSD higher in the near term while a miss could provide the catalyst for a drop lower, particularly given the RBA’s focus on employment.
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Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.
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High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% and 75% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.