"Sell high" strategy is still suitable, for now.
Fundamentally, Reserve Bank of Australia still has no intention to raise interest rate any time soon. With USD being relatively strong, I still expect AUD to plump in the next one or two day as long as it reaches higher resistance level.
Technically, the big descending trend line formed since September 21st still perfectly holds. Even if AUD has been ascending against USD since October 8th, we can see that the gap between two trend lines are getting increasingly smaller, which means a bigger plump for AUD is more likely to happen.
For now, "sell high" strategy would still work in the next one or two days.
1. Aggressive traders may take a long position at market execution to 0.71350. If unexpected news against USD occurred, long position may be taken further to 0.71620 (Green Arrow).
2. Safe traders shall wait until the price reaches upper level resistance at 0.71350 to take a short position. Take profit at 0.70800. If descending momentum continues, further short to the next support at 0.70550.
Technically, the big descending trend line formed since September 21st still perfectly holds. Even if AUD has been ascending against USD since October 8th, we can see that the gap between two trend lines are getting increasingly smaller, which means a bigger plump for AUD is more likely to happen.
For now, "sell high" strategy would still work in the next one or two days.
1. Aggressive traders may take a long position at market execution to 0.71350. If unexpected news against USD occurred, long position may be taken further to 0.71620 (Green Arrow).
2. Safe traders shall wait until the price reaches upper level resistance at 0.71350 to take a short position. Take profit at 0.70800. If descending momentum continues, further short to the next support at 0.70550.