AUD/USD Morning Star Formation Awaits Confirmation Near 0.9100
- AUD/USD Technical Strategy: Shorts Preferred
- Bullish Reversal Fails To Find Confirmation
- Downside Risks Remain While Sub 90 US Cents
Australian Dollar’s tumble below the 90 US cent handle has left a Morning Star formation lacking confirmation. With bullish reversal signals now seemingly absent the spotlight is cast on the 0.8885 lows.
AUD/USD: Pullback Below 0.9000 Leaves Bullish Reversal Signals Lacking
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A parade of Doji formations on the four hour chart indicates hesitation from traders to lead the pair lower. Yet in the absence of a definitive key reversal pattern a recovery may prove difficult. Sellers are likely to reemerge at former support-turned-resistance near 0.9000.
AUD/USD: Doji Highlights Hesitation From Traders Near 0.9000 Barrier
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.