The AUD/USD pair has bounced strongly back up from its support zone on a daily time frame as predicted. The support zone was given in our analysis on the 29th of November and the price has moved 3607 pips from its support, giving a whopping 13.31% gain with risk to reward ratio of nearly 1:4. The price is trading above the 50day moving average (shown in green) and near the 100 day moving average (shown in yellow) which shows that the bulls are gaining further momentum.
The volatility for the price is high, as it has pierced the Bollinger band and the 100 day moving average is just above the price action which means that we may get a slight pullback. However, the RSI is trading in line with the price action which means that the bias still could be to the upside.
Written by fx-insights.com