Friday, 5 April 2013

AUD/USD channeling higher toward tests of 1.05 and 1.06 so long as yesterday's low holds #aud

Daily chart shows the AUD/USD rallying within a trend channel toward tests of resistance at 1.05 and 1.06.

Weekly chart shows that a move over 1.05 will be enough for the AUD/USD to break upwards from the illustrated triangle. As I discussed on Tuesday, such a break would offer a measured target of 1.22.

Such clear and obvious patterns are being watched by many traders. On Wednesday Peter L Brandt featured the same patterns and triangle measured target in a post titled "A trade set-up I wake up thinking about", featuring his plan for entering a trade if the above set ups break to the upside. A highly recommended read, as is his book Diary of a Professional Commodity trader, one of my favourite trading books.

GBP/USD above 1.5260 would confirm a new up trend, following break from preceding down trend channel #gbp