AUD/US Stuck Between Moving Averages

Same as other forex majors, AUD/USD made a strong move north last Friday. But today it has come to its senses and has traded throughout the day, apart from a couple of quick spikes on the downside. Although, those spikes don’t count as a break of the 100 smooth moving average (red) which lays on the downside, because the price has climbed back above pretty quickly.

AUD/USD is turning lower

So basically, AUD/USD is stuck between the 200 smooth MA (purple) on top and a number of moving averages on the bottom. The 100 smooth MA (red) is the most prominent one at the moment since it is keeping the sellers in check, but the 50 (yellow) and 100 (green) simple MAs should also provide some form of support if the 100 smooth MA lets go.

The hourly forex chart is overbought and the stochastic indicator looks like it is about to turn lower. If this forex pair breaks lower, that would be great for us since we have a live forex signal in NZD/USD and we know these two pairs are closely correlated.

AUD/USD is slipping lower as I speak and NZD/USD is slipping lower as well. Our forex signal in that pair is about 20 pips in profit at the moment, so we’re on the right track today, after having four winning signals thus far.       

ABOUT THE AUTHOR See More

Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.

Related Articles

Comments

0 0 votes

Article Rating

Subscribe

Login

Notify of

new follow-up commentsnew replies to my comments

Please login to comment

0 Comments

Oldest

Newest Most Voted

Inline Feedbacks

View all comments