AUD/USD Doji Ensemble Reveals Reluctance From The Bulls
- Strategy: Flat
- Dojis Suggest Bulls Are Losing Momentum
- Reversal Signals Absent In Intraday Trade
AUD/USD has continued is cautious advance with an ensemble of Dojisdenoting reluctance from the bulls to lead the pair higher. As noted in recent reports the lingering signs of a near-term downtrend meant a clean run higher was likely to prove difficult. Yet a more definitive bearish reversal signal is left desired to shift the immediate risk lower. A slide back under 0.8660 would return the risks to the recent lows near 0.8540.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A Bullish Engulfingformation on the four hour chart offered an early signal that the bulls were looking to return in intraday trade. An absence of reversal signals and support at 0.8750 a correction over the session ahead is questionable.
AUD/USD: Bullish Engulfing Formation Hinted At A Bounce In Intraday Trade
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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