AUDUSD Forecast and Trade Idea for January 2015 -
Trading currently in a very important support zone - and if it holds, Its very good for a counter trend trade because something which is NOT on the Aussie chart... .. read on
Monthly Chart
- As you can see the Ichimoku Clouds have been broken on the Monthly, which usually is a good indication of the long term view of the continued weakness of the Aussie Dollar.
- However even though it broke the clouds, we must not ignore the most simple fact of charting as we see a very important Support zone (above 0.79), so until it breaks and close with conviction , then we can seek opportunity to trade with the trend towards lower levels as a long term trade
Weekly Chart
- Take note of the break BELOW of the Lower descending Channel line, which is extremely bearish, but again, only break of the 0.79 handle could we see further losses.
Daily Chart
- Zoomed in the daily with the support zone
- Not surprisingly there are buyers in here which does give the RSI some positive divergence
Outlook Trade opportunity
Given the fact that we are at a very major level here on all time frames, its a good area to get in long for a counter. However, what i said as the opener of this analysis, there is a hint which i got NOT from the Aussie CHart, but from the GOLD chart.Gold chart - Daily TF - we have a classic Ichimoku trend reversal trade which usually is correlated with the Aussie. So therefore i do believe a Long trade for the short - medium term is playable!
