I am looking at a potential reversal pattern on the AUDUSD.

I have marked out my planned entry point (blue line) for a candle close above the line. While I am running a smaller stop loss in the position, a looser stop or disaster stop could be placed at the 0.77235 prices.

US treasury yields spiked again at the end of last week, pushing the US dollar down again, giving a weaker currency.

This week we will be hearing from the FED on Wednesday, where the choices are to buy more bonds and control yields or to not do so.

I am more interested in the secondary effects than the primary on this news. Should traders and investors get the increase of bond purchases to help stabilise yields, then I would anticipate higher optimism for the US.

AUDUSD Long

Mar 15 2021

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