AUDUSD - Support area provides a buying opportunity

8 apr 2023

Considering lower NFP data on Friday, the odds on FED pause seem to be a bit increased even though it was not quite reflected on the FEDwatch tool. However, taking the holiday into account it is not that surprising to see such a low volume happen on the NFP data release. Thus, an indecision candle formed right at the support area.

This could pose a nice opportunity to either buy or sell the market as the guide is quite simple. Price breaks and closes above Friday high means buy opportunity, and the opposite also applies.

But since I am a dollar bear for now, I think I would prefer to do the buying instead of selling.

Entry: Above Friday's high
Stop: Below Friday's low
Target 1: Bullish engulfing candle high
Target 2: Daily resistance (blue box)