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11 Mar 2014
Flash: AUD/USD 0.8990 clearence key for bears - FXStreet
FXStreet (Guatemala) - Ivan Delgado, Head of Asian Editors at FXStreet explained in an article that after the cloud breakout on March 5th, sellers have managed to bring the price back down towards the tenkan line/20EMA, where price stabilized on the confluent junction.
Key Quotes:
"The chikou span remains above price from 26 periods ago, a positive tech input".
"A break below the tenkan line, confirmed by clearance off 0.8990 – intraday level - allows sellers to potentially target the 0.8935/40 (descending cloud top creates space for prices to move lower); however, losses beyond the latter area should be harder to come by as top of the broken cloud and an ascending kijun line should limit losses".
"Prospects of limited losses are supported by the future cloud, which continues bullish and expanding".
"The requirement for the market to turn more aggressively bearish would be a re-take of the ascending trendline coming from 0.8640, which this week should come around the 0.89 vicinity".
"If buyers are able to hold above the 0.8990/tenkan, a recovery back towards 0.9080 is a possibility ahead of recent highs at 0.9130 and descending trendline coming from 1.0580".
Key Quotes:
"The chikou span remains above price from 26 periods ago, a positive tech input".
"A break below the tenkan line, confirmed by clearance off 0.8990 – intraday level - allows sellers to potentially target the 0.8935/40 (descending cloud top creates space for prices to move lower); however, losses beyond the latter area should be harder to come by as top of the broken cloud and an ascending kijun line should limit losses".
"Prospects of limited losses are supported by the future cloud, which continues bullish and expanding".
"The requirement for the market to turn more aggressively bearish would be a re-take of the ascending trendline coming from 0.8640, which this week should come around the 0.89 vicinity".
"If buyers are able to hold above the 0.8990/tenkan, a recovery back towards 0.9080 is a possibility ahead of recent highs at 0.9130 and descending trendline coming from 1.0580".