jsaettele

AUDUSD Median Line Behavior Change Warning

Short
FX:AUDUSD   Australian Dollar / U.S. Dollar
AUDUSD traded back into and reversed from daily reversal resistance but the fact that price rolled over before reaching the 25 line indicates a weakening uptrend and warns of a break (similar logic to prolonged RSI divergence). When a parallel has provided support/resistance for an extended period of time and price fails to reach that parallel before reversing, it’s called a ‘space’. The original term was a gap but traders know gaps as something completely different. Below .6920 is the short signal.

Director of Technical Research at Krilogy, author Sentiment in the Forex Market

Twitter: twitter.com/jamiesaettele
Website: www.krilogy.com/
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