AUDUSD suckers in further buyers but is setting up for the squeeze lower

AUDUSD Analysis

The AUSUSD moved up to soak up some further sellers and then reacted lower off 0.7093 on the open today to start the long squeeze. We are now watching for a lower high for the sell entry setup. We expect price to hold 0.7062 in the short term and then build the lower high for a break down through to 0.7040 and below.

Current Price : 0.7065

Alert History

Original Alert 12/03/19

AUDUSD Analysis

The AUSUSD has found selling pressure as traders start to factor in a potential rate cut from the RBA. We can see that there are a lot of long positions built up off the daily support zone from 0.7000 to 0.7042 as price starts to get extended up off this zone. If the USD finds some strength on the back of better than expected economic data, we expect to see some buyers squeezed out of the AUD and a move back down to support. Watching now for a lower high to build and a sell entry setup.

Current Price : 0.7066