Good morning traders,
We have been expecting AUD/USD to push lower over the last month and as you can see from the daily chart below, price has been following an almost textbook pattern:
Take a look at the levels that I’ve put the markers on. That’s pretty obvious previous short term support turned resistance.
The qualifier for this trade is the fact that price is trending down and that the higher time frame resistance level around the 80c psychological level was rejected so heavily.
Check out our Forex Sentiment Indicators for a snapshot of how the Vantage FX book is trading AUD/USD. While at the moment the majority is long, a high proportion of those shorts will have been short from the top around the psych level.
An excellent trade that as you can see by today’s chart, keeps giving entries for savvy traders to add into their already profitable position.
Best of probabilities to you!
Dane Williams – Vantage FX
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Source: Vantage FX Blog