The USD has recovered a bit today and this price action has formed up into a symmetrical triangle pattern. Trend lines, and any breaks thereof, may help traders to assess any new breakout move and will be worth monitoring on the release of US CPI and FOMC.
The E/U has had a bullish week thus far and has closed the day above the 1.25 level. This may seem odd given the current disparity between the EZ and US economies but technical signs, noted here over the w/e, had pointed to such a possibility.
I noted in my w/e analysis how the US Bonds ETF, TLT, looked to have made a classic, triangle breakout move. That is, a breakout and pullback to test support before bullish continuation.
The TC signal on the A/U has already peaked at 100 pips BUT there is another strong layer of support just under current price. I noted in my w/e analysis how monthly Cloud support has been broken but AUD Bears need to pass yet another level to be confident of continuation.
Having just returned home I have noticed there were a few new TC signals off my earlier 1 pm candle close. These are essentially all the same trade though, as USD long signals, so I will manage risk accordingly. I am especially wary given the USD is back under major resistance again but hasn’t been able […]