Trading Idea for AUDUSD for week starting 08th June 2020

Details given on the chart.

Kommentera:

On a weekly chart, you can see that the pair started an upward trend in Sept 2015 and it continued until Jan 2018 when it touched a range of 0.8000-0.8100. Then it went into a downward trend and it continued until Oct 2018 and it touched a range of 0.7031-0.7050. Between Nov 2018 and Dec 2018, it gave a false breakout and continued with downward trend till Sept 2019 when it touched 0.6660-0.6700 levels. In Oct 2019 from 0.6600-0.6700 levels, a new upward trend was established and it continued till Jan 2020 when it touched 0.7022. This is when corona virus started gathering attention. In Feb 2020, it broke the upward trend line as well as important support of 0.6670-0.6700 levels that resulted into trend change in Sept 2019. In the previous trading week ending 29th May, the pair ended around 0.6665 and in the following week, we saw a breakout and pair raised to 0.7000 levels. For the week starting 08th June 2020, let's see if the pair breaks 0.7031-0.7050 levels on a daily chart (which I believe it should as can be evidence from pre-lockdown scenario and Australia has lesser risk towards virus) and then it will be a beginning of new trend towards 0.8000-0.8100. The pair has good support on a daily chart at 0.6938 and next support is at 0.6855 and major support at 0.6670-0.6700 levels.