The Dallas FED Speaks-Live Signal For The AUD/USD - Forex News by FX Leaders

The Dallas FED Speaks-Live Signal For The AUD/USD

Posted Monday, November 27, 2017 by
Shain Vernier • 1 min read

Today’s session has certainly been an interesting one. The U.S. New Home Sales data gave the markets a lift, as well as improving the outlook for a tightening policy facing the USD. Since then we have seen a lower than expected release from the Dallas FED hit the wires, coming in at 19.4 well below the projected 24.0.

It is important to pay attention to statistics from FED participants. Today’s Dallas FED metric lends credence to last week’s dovish sentiment from the FOMC minutes. Ultimately, we will see if big players are going to become involved in upcoming U.S. T-bill auctions.

AUD/USD Technicals

Currently, there is an open short signal facing the AUD/USD that is in a position to perform well. Amid the bolstered participation from this morning’s economic calendar, the AUD/USD is relatively active.

AUD/USDAUD/USD, Daily Chart

As of this writing, the Aussie is trading beneath heavy resistance and above moderate support. These levels are subject to tighten as the week wears on, but for now, they confirm the open signal.

Here are a few of the key technicals:

  • Resistance(1): 20 Day EMA, .7638

  • Resistance(2): Bollinger MP, .7653

  • Resistance(3): Daily SMA, .7661

  • Support(1): 38% current wave, .7607

  • Support(2): Swing low, .7531

  • Support(3): Macro 50% yearly retracement, .7475

Overview

The active short signal is a continuation play for the intermediate-term downtrend we have seen in the AUD/USD. With only a moderate support level being in the vicinity of price, this trade is very much alive.

If you are currently involved with this signal be sure to check in regularly for any developments. In the event that the market dynamic shifts, my colleagues Rowan, Arslan, Skerdian or myself will be ready to break down all of the action.

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About the author

Shain Vernier // US Analyst
Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.
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