Australian Dollar: USD/AUD (AUD=X) likely that we should continue to see downward pressure
The Australian dollar initially tried to rally during the trading session on Wednesday, but then broke down significantly to reach towards the bottom of the recent consolidation.
That being said, it looks as if the Australian dollar is going to continue to reach down towards the bottom of the hammer that ended up forming during the previous week.
Because of this, I think that we are going to see an attempt to break through there, and perhaps reaching towards the 0.65 handle underneath.
This market of course is highly levered to the US/China trade situation, so therefore we need to keep in mind that as long as things aren’t going that well, we should continue to see selling pressure.
Overall, the bias in prices is: Downwards.
By the way, prices are vulnerable to a correction towards 0.69.
The projected upper bound is: 0.68.
The projected lower bound is: 0.67.
The projected closing price is: 0.67.
During the past 10 bars, there have been 3 white candles and 6 black candles for a net of 3 black candles. During the past 50 bars, there have been 19 white candles and 30 black candles for a net of 11 black candles.
A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 47.6635. This is not an overbought or oversold reading. The last signal was a buy 6 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 34.46. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 5 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -90. This is not a topping or bottoming area. The last signal was a buy 5 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 16 period(s) ago.
Rex Takasugi – TD Profile
FOREX AUD= closed unchanged at 0.675. Volume was 100% below average (consolidating) and Bollinger Bands were 87% wider than normal.
Open High Low Close Volume___
0.675 0.675 0.674 0.675 190
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 0.68 0.69 0.71
Volatility: 9 8 9
Volume: 73,771 69,322 94,821
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX AUD= is currently 4.5% below its 200-period moving average and is in an downward trend. Volatility is low as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume out of AUD= (mildly bearish). Our trend forecasting oscillators are currently bearish on AUD= and have had this outlook for the last 14 periods. The security price has set a new 14-period low while our momentum oscillator has not. This is a bullish divergence.