AUD/USD-Important Support Level For This Week
It is Monday morning once again, and the markets are open for business. It is an abbreviated trading week due to the Thanksgiving holiday w
It is Monday morning once again, and the markets are open for business. It is an abbreviated trading week due to the Thanksgiving holiday weekend, so grabbing a few good trades early on will be the goal.
Currently, there is an active short position for the AUD/USD over on the signals page. This trade looks good. Kudos to all that followed the setup and are taking some money out of the market!
AUD/USD Technicals
As my colleague Skerdian talked about in an earlier brief, the AUD/USD is in the midst of continuing the downtrend that started in mid-September.
AUD/USD, Daily Chart
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AUD/USD, Daily ChartFrom a technical standpoint, bearish sentiment is in complete control of the action. Price keeps pushing lower, in search of valid support. A couple of items that are worthy of note:
From Oct. 30 to Nov. 11, price bounced off of the 38% Fibonacci retracement of 2017’s range, .7628.
The 50% Fibonacci retracement of 2017 is coming into view at .7475. I expect price to behave in much the same fashion as it did at the 38% level.
Bottom Line
This market is very likely to test the .7475 level in the next week or so. Be sure to remain aware of its presence, as long-term support and resistance levels are often proven relevant.
In addition, the .7475 is also a round number, which lends credence to its validity. With a bit of luck, we will receive solid price action to this level and give us a nice long entry before the market breaks for the Thanksgiving holiday.
As always, trade smart and for tomorrow!
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