AUDUSD right on major resistance, prepare to sell
Sell below 0.7750. Stop loss at 0.7774. Take profit at 0.7708.
Reason for the trading strategy (technically):
Price is fast approaching major resistance at 0.7750 (Fibonacci extension, major swing high resistance) and we expect a reaction off this level to see a drop to at least 0.7708 support (Fibonacci retracement, horizontal pullback support). A break of this level would open a much bigger bearish move.
Stochastic (34,5,3) is seeing major resistance below 95% and we expect it to drop correspondingly with price soon.
Reason for the trading strategy (technically):
Price is fast approaching major resistance at 0.7750 (Fibonacci extension, major swing high resistance) and we expect a reaction off this level to see a drop to at least 0.7708 support (Fibonacci retracement, horizontal pullback support). A break of this level would open a much bigger bearish move.
Stochastic (34,5,3) is seeing major resistance below 95% and we expect it to drop correspondingly with price soon.