Is the AUD Setting Up for a Fall? - Forex News by FX Leaders

Is the AUD Setting Up for a Fall?

Posted Monday, October 16, 2017 by
Rowan Crosby • 1 min read

After a week where the AUD just tumbled, it looks to me like we might have a bit of a dead cat bounce. Economic data released out of the US on Friday helped lift the AUD to its highest level in a few trading sessions.

However, I think that we are really just putting in a short-term top. The 0.7900 level is an important one. That’s where we ran up to and couldn’t break. I am expecting another test soon and if that looks like it is going to fail then I’ll be selling.

The key here is to identify a candlestick pattern that is bearish. I like the look of anything with a large wick, where price has attempted to run up and has abruptly sold back down. If I can see that at 0.7900 then I think that's a clear sell signal.

And don’t forget that we have a big week on the AUD front with RBA minutes being released tomorrow and employment data on Thursday.



AUD/USD – 240 min Chart.
Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Rowan Crosby // Asia-Pacific Analyst
Rowan Crosby is a professional futures trader from Sydney, Australia. Rowan has extensive experience trading commodities, bonds and equity futures in the Asian, European and US markets. Rowan holds a Bachelor of Finance and Economics degree and is focused heavily on Investment Finance and Quantitative Analysis.
Related Articles
0 0 vote
Article Rating
Notify of
Inline Feedbacks
View all comments