AUDUSD testing major resistance, prepare to sell
Sell below 0.7833. Stop loss at 0.7862. Take profit at 0.7769.
Reason for the trading strategy (technically):
Price is testing major resistance at 0.7833 (2 years high, Fibonacci extension) and we expect a reaction off this level to at least 0.7769 support (Fibonacci retracement, Elliott wave theory). We would require price to break this level first before we can confirm any further drop.
Stochastic (34,5,3) is testing 96% resistance and we expect it to drop soon along with price.
Reason for the trading strategy (technically):
Price is testing major resistance at 0.7833 (2 years high, Fibonacci extension) and we expect a reaction off this level to at least 0.7769 support (Fibonacci retracement, Elliott wave theory). We would require price to break this level first before we can confirm any further drop.
Stochastic (34,5,3) is testing 96% resistance and we expect it to drop soon along with price.