AUDUSD has gapped higher over the weekend mainly on better than expected China data. Is it a good time to sell in anticipation of the gap being filled? In my book, traders need a reason to sell - not just a gap. A reason might be a move below a trendline or perhaps a move through the 100 bar MA on the 5 minute chart. Each would give the AUDUSD a bearish bias and also define risk for traders. If the price falls below the 100 bar MA and then moves back above the trader should cover. It is when the price moves below and stays below the MA, that confirms the bearish bias which attracts further selling pressure. For a full discussion, click on the following video link.
The FX Trader's Link
- forex tutorial on The review and preview of the forex market at the NY close
- Jamar France on G20 over, dollar weak again
- zerodtkjoe on The dollar continues rebound from Friday but NY corrects
- Josue Izaul on A technical look at the major currency pairs today
- fxgal on Selling AUDUSD to fill the gap. Does it make sense?
TagsAdd new tag AUDUSD Bank of Canada bernanke BOC charts congress economic economy EURCHF EURGBP EURSD EURUSD EURUSUD Finace fitch forex forex. fxstreet forex brokerage fx trading education technicals G forex education Forex News Forex Trading forex trading risk forex video fx fxdd fx education fxstreet fx trading gbpusd gold Greece debt Greg Michalowski loonie nadusd NFP NZDUSD portugal SNB trading USDCAD usdchf usdjpy xausud XAUUSD
One Response to “Selling AUDUSD to fill the gap. Does it make sense?”