AUD/USD Slips To 2014 Low Amid Void Of Bullish Candlestick Patterns
- Strategy: Short (From 0.8530), Stop: 0.8540 (Daily Close), Target: 0.8330
- Absence of Bullish Reversal Candlesticks Keeps Risks Lower
- H4 Morning Star Pattern Offers An Intraday Reversal Signal
AUD/USD has resumed its descent in recent trade with an absence of bullish reversal signals present. Amid a core downtrend, shorts remain preferred with a potential target offered by the July 2010 lows near 0.8320. A daily close above 0.8450 would be required to suggest a base for the pair.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart reveals a Morning Star formation was left lacking confirmation from a successive up period. With a similar void of bullish signals to the daily the risks may be skewed lower for the Aussie over the session ahead. Sellers appear to be sitting near former support-turned-resistance at 0.8416.
AUD/USD: Risks Skewed Lower Amid Absence Of Bullish Signals
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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