- AUD/USD trade stays constructive though beware of depletion
- Updated targets cancellation levels
- Looking for some-more trade ideas? Review DailyFX’s 2017 Trading Guides. Join Michael for Live Weekly Trading Webinars on Mondays at 13:30GMT (8:30ET)
Technical Outlook: Aussie has been holding a well-defined operation between only above a Jan highs during 7609 into 7699. Note that a span has continued to honour this slope fluctuating off a December/January lows and streamer into tonight’s Australia practice report, I’ll preference a long-side while above a weekly lows with broader bullish cancellation during 7570– a segment tangible by a 23.6 % retracement, a reduce together would obligate a mangle behind next a monthly open.
A crack aloft still faces a array of insurgency targets during 7735, 7756 a Nov highs a 7778. Added counsel is fitting streamer into tonight’s Australia practice news with a recover approaching to fuel flighty in a Aussie crosses. Keep in mind markets are expecting a benefit of 10K jobs for a month of Jan with stagnation labor force appearance widely approaching to reason during 5.8% 64.7% respectively. That said, a risk is to a downside in cost on a skip in a data.
From a trade standpoint, we would be looking to blur debility while above a slope support we tagged final night with a widen into a topside targets on a information recover approaching to offer near-term opportunities on a short-side.
- A outline of a DailyFX Speculative Sentiment Index (SSI) shows traders are brief AUDUSD- a ratio stands during -1.65 (38% of traders are long)- bullish reading
- Long positions are 0.1% aloft than yesterday though 9.3% next levels seen final week
- Short positions are 9.9% reduce than yesterday though 7.7% above levels seen final week
- Open seductiveness is 6.4% reduce than yesterday and 1.3% next a monthly normal
- While a stream SSI form continues to indicate higher, it’s value observant that a continued squeezing in a ratio from new extremes does leave a long-bias exposed near-term while within this cost range.
Relevant Data Releases
Looking for trade ideas? Review DailyFX’s 2017 1Q Projections
Other Setups in Play:
- USD/JPY Clears Monthly Range, Trendline Resistance Ahead of U.S. CPI
- EUR/GBP Approaching Key Support Targets – 8400 in Focus Ahead UK CPI
- Weekly Strategy Webinar: USD Rebound Hinges on Yellen Testimony
- Silver Eyes Key Resistance- Weakness to Be Viewed as Opportunity
- EUR/USD Eyes 1.0580 Support Ahead of 4Q GDP
—Written by Michael Boutros, Currency Strategist with DailyFX
Follow Michaelon Twitter @MBForex hit him during firstname.lastname@example.org or Click Here to be combined to his email placement list.