- May 17, 2021
- Posted by: cabana-admin
- Category: forex trading, Market Insights
General overview: The pair find major pullback from the bears towards the downside pair in the market. The pair is making the downside momentum in the market. China’s Retail Sales drop to 17.7%, Industrial Production eases to 9.8% in April. Mixed risk catalysts, trade tussles with China add to the downside, AUD/USD refreshes intraday low as China flashes weak economics. The pair takes its movement towards the downside fall in the market. The pair makes its flow towards the low volatility in the market. The pair’s downside could also be termed as a consolidation to Friday’s heavy run-up, earlier backed by the risk-on mood, amid mixed sentiment. The pair breaks its upside resistance level and move towards more downside in the market. The pair completes its long rounding bottom formation and move towards south side in the market.
Technical analysis: From the technical point of view we can say that market makes the bearish side in the market. The pair makes the negative side in the market and creates the potential bearishness in the chart. Deep majority the negative factors, the AUD/USD pair, so breakdown. The pair is above the major and minor EMA and SMA lines and formed the potential buy sign towards the market. Odds are also favors of the bears in market. On the 4 hourly charts the market breaks rounding top and again finding the place for the bears to setup in the market. The RSI is also below the 50 level and macd is also below zero level in the market. The support level will be 0.7703 followed 0.7653 and resistance will be 0.7803 followed by 0.7853.
Trade idea: Our traders will move towards the sell side in the market entry will be 0.7752 target will be 0.7692 -0.7652 stop loss will be 0.7812.