forexTrdr AUDUSD - OVERSOLD, 2X BULLISH HARAMI & UPTURN IN STOCHMorning traders,
Lovely technical set up in Aussie Dollar versus US dollar after the recent strength in US Dollar taking this pair to the bottom of its recent 70 to 72 range including what looks like a false breakout yesterday down to 0.6988.
Looking to enter a long at the market following a combination of technicals adding to support. Firstly we saw two back to back bullish harami candle formations yesterday which suggest a future bullish trend. Secondly the pair failed to close below key technical level of 0.70 on the daily and formed a doji candle pointing to a change in future direction. Thirdly RSI has been stuck in very oversold levels and lastly Stochastics is showing a turn higher from oversold levels.
Our only issue is that later today we have US GDP data which may provide US dollar strength. As such the higher risk news event should be considered on sizing this trade.
As always this is not a trade recommendation and simply technical observation.
Good luck trading
from the Team at forexTrdr
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