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$PAGS: to make you BAGS?Today we are witnessing a sharp turn around in Emerging Markets $EEM after the Jackson Hole meeting. $IWM a strong indicator of risk tolerance has seen a sharp move back up into it's middle pivot. Could the continued low rate environment and strong economy be enough to continue the rush into risk-on assets? Keep a close eye on $EWZ though (Brazil ETF in which PAGS is located) to pin point entries. On the technical side of things, keep an eye on entries in between the two trend lines in which the current candle stick is located between and stops outside of the bottom two trendlines. I'd look to scale in over the next couple of weeks and see how strong the dips in $IWM, $HYG and $EEM are to see how much continuation is possible to the upside. Good luck traders!
NYSE:PAGSLong
by Fox_Technicals
FED: Recovery Heading Towards The Right Direction (29 July 2021)The Fed’s decision. The U.S. Federal Reserve delivered no surprise during their monetary policy meeting earlier today as widely expected. The Federal Funds Rate was held unchanged at the target range of 0-0.25% while quantitative easing remains at $120 billion per month ($80 billion of Treasury securities and $40 billion of agency mortgage-backed securities). Optimistic tone on U.S. economic recovery in the rate statement. Although no actions were carried out, the Fed did expressed signs of optimism on the U.S. economic recovery in the interest rate statement. The following changes made in the statement indicate so. The sentence: “Amid this progress and strong policy support, indicators of economic activity and employment have strengthened.” has been revised to: “With progress on vaccinations and strong policy support, indicators of economic activity and employment have continued to strengthen.” The change indicates continued recovery in economic activities and employment. The sentence: “The sectors most adversely affected by the pandemic remain weak but have shown improvement.” has been revised to: “The sectors most adversely affected by the pandemic have shown improvement but have not fully recovered.” The change indicates that the sectors most adversely affected by the pandemic have improved since the previous meeting. The sentence: “Since then, the economy has made progress toward these goals, and the Committee will continue to assess progress in coming meetings.” has been added into the latest statement, indicating optimism in the economic recovery. Progress made in economic recovery but still far from full recovery. Despite the optimistic tone sent out by the Fed, the central bank’s Chairman Jerome Powell cautioned during the press conference that the economy is still a distance away from making “substantial further progress” towards the Fed’s goals of maximum employment and price stability. This does not come as a surprise since the U.S. job market is still around 6.3 million jobs away from the pre-pandemic level. Furthermore, Powell highlighted that inflation is expected to remain above the central bank’s target in the upcoming months but not sufficient to trigger a change in monetary policy. On the issue of the recent rise in COVID cases due to the Delta variant, Powell downplayed the negative impact it has on the U.S. economic recovery. He said: “With successive waves of Covid over the past year and some months now, there has tended to be...less in the way of economic implications from each wave, and we will see whether that is the case with the Delta variety,” expressing confidence that the handling of the Delta variant will be more effective than handling COVID-19 when it was first declared a pandemic. Impact on the market. The upbeat tone delivered by the Fed resulted in the market going risk-on, increasing the demand for risky assets and currencies. Thus, the safe haven U.S. dollar weakened against the other major currencies.
TVC:DXY
by GH_Lee
Bitcoin Tops and Bottoms Before the S&P500Is Bitcoin a good barometer for the broader market? The chart laid out above suggests this is a possibility - and indeed, it would make a lot of sense, considering how risk tends to peak prior to tactical and cyclical corrections in the stock market, and Bitcoin is broadly considered to be a risk asset. Note how the 2017 macro top in BTC foretold a top in the S&P just 5 weeks later, and in 2018 BTC bottomed just a few weeks before the S&P. Yet again, this relationship held during the 2020 COVID crash with BTC finding a bottom just two weeks before the S&P. Is the recent top formation in Bitcoin signaling potential weakness in the S&P500 that is yet to come? With breadth deteriorating across major indices, the almighty dollar (DXY) finding support and shaping up for a potential double bottom, and the least amount of bears on the AAII survey since Feb 2018, it's possible that the S&P is in for a deeper pullback, one that is well-deserved after such an incredible run from the COVID crash lows. One thing I'm looking for to see confirmation of a tactical top in the broader stock market is the Financials Sector (XLF). If we can't hold above that former major resistance, then we are likely in for a messy S&P over the summer. Remember, assets can correct in both price and time. We may just be in for some more sideways rather than an outright move down. If the S&P does begin to correct, it is safe to assume that Bitcoin may once again find a constructive bottom a few weeks before the S&P. I'll be on the lookout for all of the above and will keep this post updated. Till then, happy trading!
BNC:BLX
by CalmCapital
What on Earth does Risk-On / Risk-Off Mean?If you have been hearing people say things like "The market is in risk-on mode today" and you have no idea what the hell they are on about, then read this. TLDR: Risk-On means that in general, the winds are fair for the market. Market participants feel that there is no real bad news around, economies are running along quite nicely, thank you. Risk-Off means there is either some nervousness or even a panic. When looking at the equity market's Risk-On / Risk-Off status, amazingly, people look at the major currencies for the clue. This may not seem intuitive, but here's why: There are 8 major currencies. Some of them are "commodity currencies". These are CAD (Oil), AUD (minerals mining) and NZD (foodstuffs). When the world economy is rockin', these states to sell and their tax receipts go up, and the rest of the world needs to own their currency to buy their goods. So, their currencies appreciate. Also lumped in with them (certainly for me) is GBP, as the United Kingdom sells services to the world like accountancy, and these services are in more demand when the world is in good shape. So, that gives 4 major Risk-On currencies. There are also 4 Risk-Off currencies. USD, JPY, CHF and (more and more) EUR. These 4 are seen as "reserve" currencies, "safe havens" in a storm, especially USD. When the smelly stuff hits the fan, nervous people sell their CADs and AUDs etc and run for safety. All the safe currencies rally and the commodity currencies sag. Take a look at March 2020, Pandemic hits: Equities traders running around with their pants on the heads, and the "reserve" currencies rally. The indicator used in this chart is freely available in my profile. It might be used to indicate the overbought or oversold nature of the two sets of currencies, to help index and equities traders.
UEducation
by Paul_Varcoe
1
S&P 500 / SPY Breaks Down to Support, Bounce or Larger Crash?The S&P 500 has broken down to trendline support after a failed breakout at 4240. The SPY index formed a high at 4238 and tried to break it at 4255, but failed to hold above that alltimehigh. It is now testing trendline support, and the question is whether price will bounce here at support or will support fail to hold and thus lead to a much larger correction. Part of the reason that I'm looking at the S&P500 even though I mostly focus on Bitcoin and cryptocurrencies is that the correlation between the two has recently been quite high, and they have both been retracing in the past few days, so a recovery in the S&P500 could also bode well for a recovery in Bitcoin and the wider cryptoassets. The key level to watch is 4175. If this level holds, then we remain above the trendline and can expect another leg up. If we close below 4175, then be prepared for some volatility upon trendline break as we might have formed a double top, which will likely also trickle over to Bitcoin and other risk-on assets as well. Of course, it's possible that what we are seeing is similar to what we saw back in March, when price failed to hold a higher high, broke down a bit, and then rallied higher. If price does break down, then the 200 day moving average at 3900 should serve as ultimate support, though I'd think that the Biden administration and the Federal Reserve would have stepped in before that happens.
SP:SPXShort
by cryptotraderog
7
US YieldsOutlook The Fed started raising the fed funds rate beginning in December 2015 but lowered it again in 2019 and 2020. There are ongoing pressures to keep yields low. Economic uncertainty in the European Union, for example, can keep investors buying traditionally safe U.S. Treasuries. Foreign investors, China, Japan, and oil-producing countries need U.S. dollars to keep their economies functioning. The best way to collect dollars is by purchasing Treasury products. In the long-term, these factors can put upward pressure on Treasury yields: The largest foreign holder of U.S. Treasuries is Japan followed by China. China has threatened to purchase fewer Treasuries, even at higher interest rates. If this happens, it will indicate a loss of confidence in the strength of the U.S. economy. It would drive down the value of the dollar in the end. One way the United States can reduce its debt is by letting the value of the dollar decline. When foreign governments demand repayment of the face value of the bonds, it will be worth less in their own currency if the dollar's value is lower. The factors that motivated China, Japan, and oil-producing countries to buy Treasury bonds are changing. As their economies become stronger, they are using their current account surpluses to invest in their own country's infrastructure. They are not as reliant upon the safety of U.S. Treasuries and are starting to diversify away.
TVC:US10YShort
by MiWealth
CADJPY - Is it time to Fade?CADJPY - Is it time to Fade? This is a potential trade I am looking to excel further next week - We've been on up trend for while but now is it time to fade? At this current of time we are within the range of 90.640 - 89.735, a break to either direction. Below the trendline up bears will gain further control 200 ema is a nice area of support zone or we could excel further shorter term to 91.100 areas. Have a great weekend, Trade Journal (Just a trade idea, not a recommendation)
by Trade_Journal
AUDUSD - IS IT TIME TO FADE?AUDUSD - We reached that golden area of 0.80! Then, we faded that area...what's next? This morning typing this we down half of 1% - Since my year ahead outlook 0.80 is an area I have been eyeing for a while, since we finally reached that target area there will be an update video for the Q2 on what to expect. This will be shared privately via YouTube - If you're interested: Comment down below or message privately. I've been fading the majors from the start of the week - as yields rise higher, tech space declining, it's an interesting time. Will there be YCC from the Feds? Commodities are at interesting area. AUDUSD - Follow your own trade plan. Support: 0.78050, 0.77700, 0.77455 Resistance: 0.78790, 0.78970, 0.79300 Target area: 0.77700 areas (ALL DEPENDENT ON PRICE & FUNDAMENTAL FACTORS) I've taken 70% of profits. If price to rise I will be adding to my position to get in further. Key tip: Mostly everyone can analyse a chart and being on a demo account that's the easy part done, but emotionally not everyone can control there live execution state and that what makes you different from just an analyst to being a real market maker! And you can do it. FRIDAY QUOTE: The jealous are troublesome to others, but a torment to themselves. - William Penn Have a good weekend. Trade Journal (DISCLAIMER: Just a trade idea, not a recommendation)
by Trade_Journal
The Secrets to Forex & Why You Were Bullied at Trader HighSchoolThis is the second half of the deliverable on fundamentals. It covers content you don't normally learn about in the retail trading loserverse, stuff that is often paywalled behind shill "courses" or dismissed as unnecessary by wealth gurus. I'm here to short those paywalls with my appropriately priced FREE knowledge. Take everything in stride, this business wasn't meant to be mastered or understood overnight. You don't think they give the Fisher accounts of the world out to any tryhard with a computer and a chart? Conversely. Don't worry, too much knowledge is the best problem you can have. Part 1: Modern Chartfare When you started trading, you were probably 360 no-scoping your trades. You probably had a few win-streaks, and then a demoralizing losing streak. You felt your win/loss ratio falling and you sought out new strategies, new weapons. So you turned to the internet for ideas, like you would for anything. The omnipresence of advertising and social media caught your attention first. You turned to a metric shitload of wealth gurus. Instagram, telegram, pictogram, etc. Sure, the bros pitching this stuff look like older versions of the kids that bullied you in school, but now they're here to make you money, right? Nice try nitwit. Now you're making a new kind of losing investment. This is an important piece of "risk management," and I wasn't sure where to fit it in. But those educators, ARE your competitors. Your investment isn't a potential return, its accounts recievable to Guru LLC. When you make enough money trading, you don't need to shill services for income. Remember, forex is a meta marketplace itself, AKA a place to trade services . Most of which are scams or overpriced. Wealth and warfare go hand in hand. In capitalism, the true battlefield is your bank account, the true center of gravity is your mindspace. The weapons are languages, visuals, platforms, technologies.. And I can tell, trust me, that most of you are easily exploited noncombatants, unarmed and unable to defend yourself or stake a claim to survival in this eternal warzone. Step one to making wealth is protecting whatever amount (no matter how pathetic) of wealth you currently have. Step two is to stop chasing paywalled wealth gurus who draw no income from trading, or any profit that do is embarrassingly mediocre. Greed makes it too easy for the fishermen these days. But wealth that lasts is quiet and deals in many faces. You have to go looking for it, it doesn't try to find you. That's why I'm not selling you on overnight wealth, I'm buying you a lifetime of better risk taking behavior. You need to stop being a wierdo who idolizes mediocre profits. Part 2: Lunch is NOT for WIMPs Most of the information in this article is available to find online for free with enough effort, it's just not prioritized by the get-rich shills on major social media platforms. That's the problem. You're still getting bullied out of your lunch money. I have a counter-offer, I'll buy you lunch instead. At the conclusion of this series in a few months, I will launch a free, private signal service (based on one of my own profitable strategy systems), to build a new type of community, and to help demonstrate the effectiveness of my risk ethos promulgated across this series. I'll get into earning details in a later article, but those master accounts are traded by my hand and produce a minimum positive number of pips per month. Bottom line, it's enough for lunch at Dorsia. But it's not enough to replace a job. Answers to all questions will be provided when the time comes, and performance will be fully transparent. There will be rules for the community and the private signal, rules that may not make sense at first or seem unfamiliar, but everything will be free, always. I don't need your money, the federal reserve has given me plenty. Instead, I will 'trick' you into prioritizing the right things, to protect and develop your networth and lifeworth. From this new kind of community, I will eventually select a few unique individuals to inherit and run my forex trading systems, so I can focus on business creation. In the meantime, you should be utilizing free websites like FxBlue or Psyquation to manage and study your account risk overtime. You'll be able to see clear differences in the before and after comparison corresponding to your trading experience before finishing this series vs afterwards. Part 3: Factoring Events Alright, this will be a bit disjointed but let's start the race to the bottom. Some investors will pitch their fund or their style as event-driven trading. I simply call event-driven trading by another phrase, 'risk management.' That's all it is. EVENTS ARE THE ONLY FORM OF VOLATILITY THAT MATTERS. The priority for your risk management across long-term timeframes is not entirely explained in simple volatility equations. I have briefly mentioned this in prior articles. But the investing boomerisms about volatility are right and wrong. Volatility is the key to risk management, right, but only if you understand the threat origination of volatility itself, which most don't. Which is why they lose. Volatility is the rapid transition of fear into security or security into fear. The identifiable rapid transition EVENTS are driven by market psychology (the players within). And those rapid transition events CAN be predicted by preparing your trades for predicted/scheduled future EVENTS (and sometimes ongoing events). We talked a lot about geopolitics and some economic events in the last article. But there are others. You don't really need to know a lot about them, you just need to know that they are predictable events, which means meaningful volatility, which means risk management. You don't need to be an economist or try to out-analyze these events (though that might lead to some edge), because you can safely assume that the forecasts are already priced in. You can assume that the majority of major market players did their own research or got access to better research. Tough to out-edge those guys. There's a reason they own the porn industry. "Thank God I don't have to use my brain too much." No, don't even. I would rather not create anymore dumb rich people, we got enough already and boy are they big liabilities. Part 4: Losers Wouldn't Know A forecast isn't a foresight, its a guesstimate. We talked a lot about the inherent delusion built into speculation. Obviously, these guesstimates COULD be wildly wrong. The actuals could be 5 standard deviations away from the expert consensus estimate. Therein lies the potential for major volatility. Forget the digits, I want you to look at the econ calendar as opportunites for entry or exits in your trading system, and ignore the estimate. Or, if you already are exposed to the pair, I want your to prepare your position for these events ("prepare" will be further discussed). Both of these routes can constitute proper risk management in conjunction with key technicals, which is the focus of the next section. There are a ton of events that don't appear on the econ schedule though. Only the cool kids know about these. We did geopolitics already, the tough unscheduled stuff. But there is more to discuss. END OF MONTH + END OF QUARTER REBALANCING It's hard to predict cause commercials and institutions use broad cross-asset reasoning to balance portfolios, but generally the mindset is derived from a need to hedge across the major/minor/cross currencies (g10). The safest bet is to just expect volatility, and therefore prepare your risk management in concert. Dont spend cognitive resources trying to predict direction. Just look at the Biden campaign. Now that's how you conserve cognitive resources. LONDON FIX There are multiple fixes, but the London fix is the biggest and most relevant for majors because most of the money and most of the villains have congregated there. It occurs at 4PM City time (London time) and it's basically used as a benchmark for NON-SPOT market operations, like agreements/forwards between companies or branches within companies to convert currency to meet payment responsibilities like payroll, invoices, debts, etc. That was determined to be the "fairest" way, instead of negotiating over spot prices. The exact exchange values are determined with less oversight than you would hope but usually as an average of price range around the 4PM period. It just means that you have another volatility roadbump as a retail trader. For the powerful and wealthy, it might mean other opportunities. We don't always play the same game, even if it seems like it. The fix is even crazier during those end of month rebalancing events. Consider them gravitationally attracted. WITCHING HOURS This is the period when Wall Street performs satanic rituals for profitable insight. You probably won't have to worry too much about this now that we got Maxwell behind bars, and I really should've just covered it more directly in the seasonality article. This hour is just the last hour of trading on the third friday of every month (unless it's a holiday), where some options and some futures expire. The lead up to the hour itself can involve unusual price action from complex arbitrage. There is recent interest in resolving this inefficient period by developing special rollover/settlement options. CME Group (the largest futures group) is working on this, so I wouldn't do too much of a deep dive looking for edge because it might not exist for much longer. At most, you should just remember to increase risk oversight on the third friday of each month, and that a few months (March, June, Sept, Decem) have larger expiry loads, so be extra careful. That's the speedrun. Part 5: Steak Salesmen Trump tweets. Now in the steak salesman era of American politics, Presidents also like to hype or influence economic information, and significant portions of the market will react. You gotta follow the man in the OO if you want the complete global macro coverage. We have less than a year left of insured Trump tweets, and a speculative 4 more years of Trump tweets. I do consider a high probabilty of a Trump reelection, 70%+. Twitter market influence is here to stay either way, though it would be more subdued without Glormphf. This ties into a reliable source of fundamental certainty, which is the dependency of timezones and market newsflow. That is, big US market newsflow happens during the business day, by and large. Everyone is awake, everyone is at work. This is obvious but useful nevertheless. Lets say there is some kind of unscheduled macro leak, like a major Korean newspaper claims that a CCP trade minister said that TRADE DEAL PHASE 1 might be off the table.. the market will react poorly and all of this will occur overnight for the US and for EU. However, when the sun shines on that side of the world, we will get an update, and usually a correction, that calms markets. You can use that reaction cycle as a tradeable pattern in future instances. This type of pattern happens all the time, a few times a month at least. Part 6: The Confusion of Traders COT data. The Contusion of Traders data is the most freely available source of information that approximates open interest and institutional sentiment in forex. You probably know that real volume data is available for most financial assets on major exchanges (like stocks), but due to the derivative and OTC nature of forex, this real information on liquidity, sentiment, and volume is priveledged knowledge held privately by individuals and institutions to generate edge and to fiddle with spreads. COT data is a close but not exact representation of this liquidity and sentiment via commodity futures contracts held by trading funds, institutions of a market-making nature, or brokers. Unfortunately, this data is compiled and released weekly, and not in real-time. So it has a 1 week lag, and more during holidays. However, it is still very useful from a fundamental perspective for long-term traders. OI (open interest) shows DEMAND. You can find this data via google, and there are few dedicated people on a certain factory related forex site that put out excellent weekly COT reviews. Generally speaking, you want to look for strong competing trends between speculators and commercials. You will want to track your risk management to that trend. Quite frankly, you rarely want to trade against a strong COT data-derived trend unless you are making a special type of carry trade. If you want to bet against the trend, you incur the same risk-managment responsibilities of a commercial (deep pocket institutions, money makers), except you remain a pathetic and shallow pocketed retail trader. This is counter-intuitive because your capital is vastly limited both in size and use. Okay let's circle back to riskon and riskoff and tie them into econ events. Part 7: Securities Industry Essentials Exam The stock market is a critical component of fundamentals because it serves as a reliable indicator of riskon vs riskoff. Money considers the share market (like NASDAQ/DOW/SP500/NIKKEI, etc) risky. I find this absolutely clown-tier in the current year, considering Central Banking debt/asset strategies. Digression. It considers other equities like corpo bonds, debentures, warrants, etc, as accessories to share performance, at least when looking at drivers for riskon sentiment. Unfortunately, the stock market runs through exchanges that do not operate on a 24/7 basis, unlike forex. The old world still functions on sleep. Imagine sleeping when you could be making money. You can alleviate this issue by looking at the futures market, where you can follow different stock markets while live exchange data feeds are stopped. You need to be mindful of which stock market to follow based on time of day. Recall that NA and EU represent most of the influence on sentiment only while live. Commodities like energies and metals are perhaps even clearer examples of risk sentiment. With the exception of gold and silver, most commodities are riskon, and act as a signal for demand within economies. Since economies are the underlying to markets, markets interpret commodity demand (which generally reflects as higher prices), as a sign that economies are growing. Copper in particular because of its valience application in much of the developed, tech-dependent world. Part 8: The Pyramid Club National bonds were discussed in prior articles. Bond PRICE rises (because demand increases) during riskoff periods. Now, this is only true for SAFEHAVEN countries. Well-managed, top-twenty economies. This is because demand for a national bond can drop if investors think the country is at risk of debt restructuring. Though, as prior mentioned in the carry article, this issue is more political than it is economic in nature, and a bailout is always available. It might be easier to think of national bonds as 'loans' citizens can give to governments. Writing a loan for a trustworthy debtor could be an economically benefitial thing, but vice versa for a debtor who is struggling. In general, as a forex trader, just focus on US national bonds. Note that there are varity of national bond types, but the distinction between them is less relevant than the overall yield and price conditions. It only becomes relevant if you have a lot of money to invest, which we all know you don't have. Now what about yields? Sadly, as bond prices rise, the yield (added interest value) drops. Though in the grand scheme of things... yields are pretty much in net decline these past 10-15 years, which are the only kinds of timeframes they are truly relevant in anyway, except as a sentiment measure with glance value. Obviously, in a riskon environment, more investors, and therefore more money, shift into riskier avenues; so demand drops and bond prices drop. Now, there are other factors that influence the pricing of national bond yields and other country-level assets, namely interest rates set by a central bank, yield curve issues, and other money operations between the central bank and private banks. As mentioned in the article on carry trades, the importance of staying up to date on central banking activity and rationale is paramount in the world of forex. I'm not going to give a 21st Century Central Banking ECON 301 course here; just research the history of Gold Man Sachs' corporate management and you'll be ahead of the game. Also. VIX is another simple and popular tool for measuring the riskon vs riskoff environment, though as I have already warned in prior articles, volatility is not synonymous with risk due to its vulnerability to black swans, and risk management based on traditional volatility measures is not sufficient. And keep in mind that VIX has a sleep schedule. Part 9: Gekkos & Goblins It's easy to get lost in all the words, statements, claims, projections, predictions you get from experts, twitter, reports, releases, news, and media. But you have to stay laser focused on the flow of cash itself. Adding 'value' or 'growth' and removing 'liabilities' or 'obstacles' are nice terms, but they don't exist in reality. You can't put them in your pocket. You can't buy a house with them. Remember, ultimately it's all about the bucks, the rest is just conversation. Where ever there are billions sloshing around, there lies your market. You just need to watch the money move to understand the risk transitions. Though, don't follow it too closely, you might see something that was meant to be hidden. Part 10: Most Successful People were Bullied Society has an odd way of bullying people into conformity (and therefore mediocrity). But if you weather the mental pressure to conform, you end up outside the predicted plot. A place where no one can reach you. When making money is involved, that's usually a good thing. The last man standing is usually the risk management specialist, yet the biggest risk is not taking any risk at all. A paradox? You're not trying to avoid all loss, you're trying to be the best at managing loss. You can't be a risk management specialist without RISK being involved somewhere. You have to suffer the bullying before you can step outside of the plot. "Most men take few risks, and then they all die in the end anyway." The interesting characters in GOT died before the show ended, because they took interesting risks. If they didn't, then HBO wouldn't have made any money. The show was profitable because unexpected events drove interesting storylines, the writers weren't afraid to kill people off, break their paradigms, or run them through intense pain and embarrassment. You are HBO and your trades need to be like Littlefinger, for instance. He spent a lot of time worshipping risk and chaos, but wasn't he the most meticulous character in the show? What about Tyrion? He appeared to keep a low profile for most of the show, but actually took huge risks. Confused? Here's the sum of these analogies: You will get bullied by the market. But if you can break your mental paradigms, kill off bad strategies, and survive the pain and embarrassment, you'll be the last man standing. Well, technically I'll be there, wondering what took you so long.
by CountofCoins
AUD/USD + RISK ON SENTIMENT⭐️Key Takeaways⭐️ ✔️ AUDUSD is that risk-on sentiment currency - should monitor SPX for correlations. ✔️ Gold continues to maintain it's bull run but struggled to break above $2000. A correction is gold could signal strength with the buck. ✔️ Small timeframe rounding top action but could transition into a gartley pattern ⭐️Technical Analysis⭐️ As long as the US continues to see a rise in COVID19 cases, we should expect to continue to see further USD weakness. AUDUSD on the daily showing clear divergence with RSI. Seems like this divergence theme is getting pretty played out by now as we've seen divergence across the board for several weeks now with zero follow through. Ascending support maintains with this pair. Next critical upside resistance level is around the 0.73 handle. If we manage to break below the ascending support, that could open up further downside as the USD enters its correction phase to the upside. Downside levels of support to look out for include 70, 69 and 68 handles. Regards, Michael Harding RISK DISCLAIMER Information and opinions contained with this video are for educational purposes only and do not constitute trading recommendations. Trading Forex on margin carries a high level of risk and may not be suitable for all investors.
SP:SPX
by Michael_Harding