AUDUSD:- Resting At Dynamic Resistance
AUDUSD:- Last week we saw the pair fulfil the resistance zones as suggested with an extremely bullish breakout of 0.71500 and soar to the weekly key level of 0.72250 and peaking in the psychological region of 0.72500.
The weekly candlestick closed relatively bullish and indicates we may see further upside in the future, however in the immediate future I will be looking for a slight correction in price back into the 0.71500 area and look for any reversal signals from there.
The price has broken through an inner trendline that has held as a strong resistance since June and revisited the 9-month outter descending trend line. A break of this may be significant as it capped price for a long period of time and will provide a clean set up upon being broken.
The Moving Averages have crossed back to the upside on the daily timeframe and I will be looking for a pullback and retest before going long when the opportunity arises.