The Australian dollar has been the performer this week with strong bullish closes on every trading session, pushing the AUDUSD into fresh highs. We’ve been focusing a lot on the AUDUSD because it’s been dropping some nice clean price action signals.
On the AUDUSD daily chart you can see the market has just fired up higher off the back of a bullish rejection candle with a strong close to the body. Now the market has breached a key containment level and floating at new highs, we are waiting for pullbacks into the mean value for buying opportunities.
We’re watching the important level marked on the chart to hold as support. A bullish price action reversal signal will be the icing on the cake here. The area we’ve got the spot light on also should line up nicely with the mean value, which creates a “hot spot” or high confluence area to look to get long.
Article by www.theforexguy.com