Currently, 61.8 of retail traders are net long the the Australian Dollar
. A dovish central bank
and a non-stable economy is not helping AUDCHF's case. From an intraday perspective, AUDCHF
has been in an rather strong downtrend for quite a while and it was only just recently where it overshot the lower line of the bear trend and shot right back up to the top. The Lowest low and full 100% retracement from the top of the start of this downtrend is now a key support and a level that bears are most satisfied with pushing this security down to. The spike back up to the top of the downtrend was in part due to the very few bears left after this security made its lowest low in a few weeks. Recently, after the spike up to test previous resistance, price was immediately shot down by the bears and price broke 2 major supports in the last 2 days. The most recent support breaking will need to see a retest after strong continuation but wait for pullback/retest to add to shorts or take a clean bearish
position. Keep in mind bear stops are probably near the original break of major downtrend support. Profit taking area is very gradual as it passes the .382 fib all the way down to the lowest low.
Thanks for the support and constructive criticism is always welcome.
Trade with Care and Enjoy the weekend!