AUDUSD has been in a bullish trend with the formation of higher highs and higher lows. The market has broken out of the previous resistance which has now truned support. This support stands at the previous high of the market. We will wait for the retest of this support before we go long on AUDUSD.

The descending trendline has induced the bullish breakout buy and the candles have validated its accuracy. Apart form that, there is a support trendline forming which might be retested at the support level from where it can continue moving up. Also, the ascending trendline has broken out but the breakout sell isn't as solid as it should be.

The retracement level of 61.8% is in confluence with the support level. This gives a strong foothold for the market to continue moving up.

EMA 50 has turned bearish but is hovering around the price action. Market can easily break this EMA 50 towards the upside once the pump has taken place.

RSI is at 48. Market needs to hop above the 50 level and then align with other technical parameters in order for the market to continue moving up.

Riding the AUDUSD wave

Dec 06 2022