It may be quiet but that doesn't mean we can't look for opportunity
The more I look at AUDUSD the more I like a long if we get a decent dip over NFP. Earlier in the week I highlighted this tough area of resistance up her at 0.7660/80.
- May resistance line at 0.7680
- Jan 2015 resistance line at 0.7670
- 100 wma is at 0.7658
- The area has been a struggle for buyers earlier this year
And no matter what's been thrown at it this week, including a rate cut, it's come bounding back up again and again. I don't think you can get a clearer signal than that.
We're currently stuck to the highs like glue and it's probably only the NFP that's stopping it from breaking higher. AS I noted in the wrap, once that risk is removed, so might the leash off of buyers.
I'm going to set a long order at 0.7610 and I'll be happy to buy it lower than that if we get a big variation from the jobs report. My first place for a stop will be under 0.7480 but I'll see what the price action is like before putting that in place.