Australian Dollar: USD/AUD (AUD=X) Risk-on mood remains supportive
This coupled with the prevalent risk-on mood, as depicted by a positive trading sentiment around equity markets, provided an additional boost to perceived riskier currencies – like the Aussie – and remained supportive of the ongoing positive momentum, albeit persistent US-China trade tensions might keep a lid on any runaway rally for the major.
Investors might also be reluctant to place any aggressive bullish bets, rather prefer to wait on the sidelines ahead of Wednesday’s important release of the latest FOMC meeting minutes – due later during the US trading session. Hence, it will be prudent to wait for a strong follow-through buying before positioning for any further near-term appreciating move.
Overall, the bias in prices is: Downwards.
By the way, prices are vulnerable to a correction towards 0.69.
The projected upper bound is: 0.69.
The projected lower bound is: 0.67.
The projected closing price is: 0.68.
During the past 10 bars, there have been 5 white candles and 4 black candles for a net of 1 white candles. During the past 50 bars, there have been 22 white candles and 27 black candles for a net of 5 black candles.
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 60.8935. This is not an overbought or oversold reading. The last signal was a buy 11 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 41.05. 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 10 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 41. This is not a topping or bottoming area. The last signal was a buy 10 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 buy 4 period(s) ago.
Rex Takasugi – TD Profile
FOREX AUD= closed unchanged at 0.678. Volume was 100% below average (consolidating) and Bollinger Bands were 16% narrower than normal.
Open High Low Close Volume___
0.678 0.678 0.678 0.678 50
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: 8 8 9
Volume: 67,749 67,850 93,224
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 3.8% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of AUD= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on AUD= and have had this outlook for the last 19 periods. Our momentum oscillator has set a new 14-period high while the security price has not. This is a bullish divergence.
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