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5 Mar 2014
Flash: AUD; sustainable weakness? Not likely
FXStreet (Guatemala) - Ivan Delgado, the Head of Asian Editors at FXStreet explained in an article that the AUD/USD continues to be a market hard to trade.
Key Quotes:
“The AUD/USD continues to be a market hard to trade as price fluctuates inside the cloud”.
"In summary, the AUD/USD continues to be a market hard to trade as price fluctuates inside the cloud. Encouraging, however, is the fact that the cloud will soon thin out, potentially leading to the next directional bias. Based on the inability from sellers to regain the downside of the kijun (since Feb 4) - a communication that the bear trend is faltering, paired with some bullish parameters identified, it suggests a further period of consolidation this week, with risks finely balanced until more clarity is given".
"That said, there is tentative evidence suggesting that sustainable weakness seen last year is unlikely".
"It will not be until the pair can break outside the cloud that a new landscape of trading opportunities will arise. In the meantime, playing small intraday moves to exploit ‘void’ areas continues to be the name of the game to make some quick profits".
Key Quotes:
“The AUD/USD continues to be a market hard to trade as price fluctuates inside the cloud”.
"In summary, the AUD/USD continues to be a market hard to trade as price fluctuates inside the cloud. Encouraging, however, is the fact that the cloud will soon thin out, potentially leading to the next directional bias. Based on the inability from sellers to regain the downside of the kijun (since Feb 4) - a communication that the bear trend is faltering, paired with some bullish parameters identified, it suggests a further period of consolidation this week, with risks finely balanced until more clarity is given".
"That said, there is tentative evidence suggesting that sustainable weakness seen last year is unlikely".
"It will not be until the pair can break outside the cloud that a new landscape of trading opportunities will arise. In the meantime, playing small intraday moves to exploit ‘void’ areas continues to be the name of the game to make some quick profits".