AUDUSD: Key Hidden Levels and Linear regression analysis

14 Eki 2016

AUDUSD found support at the upper deviation of the recent downtrend's linear regression channel today. This level coincides with the mid point of the recent VIX 75% retracement, or 'smart money buying spree' key level, which happens after VIX spikes by 5 points or more, and the smart money 'buys the dip' in risk assets, making VIX retrace 75% of its recent climb, reducing option volatility, calming the market and putting a floor below the recent sell off lows. This range, gives 3 levels to monitor on retest, and that's what we have here. Let's see if bulls step in and drive price above resistance, else, the downtrend in AUDUSD will resume.

We can enter longs here, or on a new daily high to be more conservative, risking a new daily low. Keep risk at 1% or less.

Good luck,

Ivan Labrie.

14 Eki 2016

Not

Nice move already.

14 Eki 2016

Not

Testing the top of the 'Smart money buying spree' range. Once above AUDUSD can soar with ease.

14 Eki 2016

Not

...now 'soaring with ease'.

14 Eki 2016

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AUDUSD commercial futures traders order flow chart

18 Eki 2016

Not

Resistance at the Jackson Hole daily high, we can book 75% and keep stops at 0.76253.