AUDUSD broke out of resistance, buy on strength!
Buy above 0.7774. Stop loss at 0.7739. Take Profit at 0.7852.
Reason for the trading strategy:
Price broke out of our short term descending resistance-turned-support line. We look to buy above 0.7774 (horizontal overlap support, 38.2% Fibonacci retracement). A strong rally might occur above this level, pushing price up to our major resistance at 0.7852 (76.4% Fibonacci retracement, horizontal pullback resistance, 100% Fibonacci extension).
RSI (34) is seeing a bullish exit, which is a good precursor for a potential rise in price.
Reason for the trading strategy:
Price broke out of our short term descending resistance-turned-support line. We look to buy above 0.7774 (horizontal overlap support, 38.2% Fibonacci retracement). A strong rally might occur above this level, pushing price up to our major resistance at 0.7852 (76.4% Fibonacci retracement, horizontal pullback resistance, 100% Fibonacci extension).
RSI (34) is seeing a bullish exit, which is a good precursor for a potential rise in price.