The AUDUSD trading range is less than 100 pips this week. The is toward the low end of the extreme (SEE 1-week ATR in the chart below). I know we had equally as low trading ranges earlier this year, but volatility is increased of late and markets are more normal. Non trending leads to trending so I am on full alert for the trend move higher.
The range for the AUDUSD is very low so far…
Looking at the hourly chart the pair is coiling is also showing a market that is coiling like a snake. The 100 and 200 bar MA are going sideways and starting to come closer together. The midpoint of the October trading range is in between the 100 and 200 hour MA at 0.87745. The low trend line was tested in the Asian session. The high trend line was tested in the London morning session. The price has spent the last 4 hours below the 100 hour MA (blue line). and is trying to close a bar below the 200 hour MA.
I am looking for the market to break and run. The sellers are showing me more.
AUDUSD is coiling like a snake.
The snake is coiling. Waiting to attack.
Snake coiling = AUDUSD coiling
