AUD/USD - 0.7000 Approaching!, Breakout or Rejection?
Hello Traders!
Hoping we all had a good start to beginning of a new week, as I've been looking more into COT Data, I've realised there are a lot of traders that are waiting for a short off 0.7000 level as 80% of retail traders are SHORT. Although looking at oscilating indicators the market has not reach an 'overbought' sentiment, meaning price may break our level and continue further.
What Is The Market Telling Us?
We must only enter once price has reached 0.7000 followed by reacting to what the market tells us to do
If we are looking to go LONG, buy once price has broken resistance, retested and is followed by bullish signals
If we are looking to go SHORT, sell once price has shown rejection off resistance followed by bearish signals
Hoping we all had a good start to beginning of a new week, as I've been looking more into COT Data, I've realised there are a lot of traders that are waiting for a short off 0.7000 level as 80% of retail traders are SHORT. Although looking at oscilating indicators the market has not reach an 'overbought' sentiment, meaning price may break our level and continue further.
What Is The Market Telling Us?
- We have had a breakout of our symmetrical triangle, followed by a nice gradual uptrend towards our 0.7000 level
- Price has been ranging between our support zone and 0.7000 resistance level, awaiting on how price action occurs when level is met
- MAs are moving stagnant, meaning that there is no directional movement as of right now, possibly awaiting on more volume to come
We must only enter once price has reached 0.7000 followed by reacting to what the market tells us to do
If we are looking to go LONG, buy once price has broken resistance, retested and is followed by bullish signals
If we are looking to go SHORT, sell once price has shown rejection off resistance followed by bearish signals