The 100 SMA Is the Last Hope for Our AUD/USD Signal
Skerdian Meta • 1 min read
Damn, the slide in AUID/USD has picked up pace in the last few hours. It was holding up well until a couple of hours ago. EUR/USD was losing ground fast, while the commodity Dollars were stagnant. That meant that when the slide in EUR/USD was over and the uptrend resumed, the commodity Dollars would be the first to jump higher.
But, that didn´t happen. Instead, this turned into a broad USD buying and the com-dolls joined the Euro. The Aussie and the Kiwi joined the Euro and the Loonie is getting totally smoked.
The funny thing is that now EUR/USD is reversing and is around 30 pips higher from the lows about an hour ago. The com-dolls on the other hand, don´t seem to be reversing.
Is the 100 SMA going to reverse the decline?
At least, it looks like the decline has stopped for the time being. The 100 SMA in the H1 chart is the last man standing for our AUD/USD signal and it held the AUD sellers in the first attempt to break lower.
Right now the upside doesn´t look too bad as the stochastic and RSI indicators are oversold, besides the 100 SMA providing support.
If the hourly candlestick closed as it is now, this would be another bullish indicator. You do know that pin candlesticks signal a possible trend reversal, right?