AUDUSD Tested Its Resistance, Prepare For Further Rise
Buy above 0.7490. Stop loss at 0.7421. Take profit at 0.7645.
Reason for the trading strategy (technically):
AUDUSD bounced off its support at 0.7490 (100% Fibonacci extension, 78.6% Fibonacci retracement, horizontal overlap support) where we expect price to rise to its resistance at 0.7645 (100% Fibonacci extension, 50% Fibonacci retracement, 23.6% Fibonacci retracement, horizontal pullback resistance). We do have to be cautious of the intermediate resistance at 0.7582 (horizontal pullback resistance).
Stochastic (89, 5, 3) bounced from its support at 2.4% where it still has a lot of upside potential.
Reason for the trading strategy (technically):
AUDUSD bounced off its support at 0.7490 (100% Fibonacci extension, 78.6% Fibonacci retracement, horizontal overlap support) where we expect price to rise to its resistance at 0.7645 (100% Fibonacci extension, 50% Fibonacci retracement, 23.6% Fibonacci retracement, horizontal pullback resistance). We do have to be cautious of the intermediate resistance at 0.7582 (horizontal pullback resistance).
Stochastic (89, 5, 3) bounced from its support at 2.4% where it still has a lot of upside potential.