AUD USD is in an uptrend supported by 1H exponential moving averages. AUD USD is in a consolidation after the last bullish movement. The volatility is low. Bollinger bands are flat. ForexTrend 4H, daily (Mataf Trend Indicator) is in a bullish configuration. The uptrend should continue to gather momentum. The risk/reward ratio is too high to take a position.
A type of moving average that is similar to a simple moving average, except that more weight is given to the latest data. Also known as "exponentially weighted moving average".
This type of moving average reacts faster to recent price changes than a simple moving average. The 12- and 26-day EMAs are the most popular short-term averages, and they are used to create indicators like the moving average convergence divergence (MACD) and the percentage price oscillator (PPO). In general, the 50- and 200-day EMAs are used as signals of long-term trends.
RBA Minutes Trigger Higher Aussie -"Last December 7th RBA meeting minutes were released today after the board decided to keep the cash rate unchanged at 4.75% in December because the policy was judged to be "mildly restrictive" given signs of consumer caution and few inflation pressures, the minutes showed.
“Following the Board's decision in November to lift the cash rate and the subsequent increases in lending rates, and taking into account the level of the exchange rate, monetary policy was judged to be mildly restrictive”, said the RBA board. fxstreet.com
I was ready to scalp this long and take it for a major ride to the upside on the break of the doji high. I usually do not scalp Asia, but the setup was golden!:
19 winners out of 19 Trades for 84.1 pips with FXCM Active Trader Platform
19 winners out of 19 Trades for 84.1 pips with FXCM Active Trader Platform. Tight Spreads, Fast order execution, and Level II like Market Depth make the FXCM Active Trader the tool preferred by professional traders. The RBA minutes fueled an Aussie Dollar rally with a break above the .9950 resistance area. The thin and illiquid market conditions created a volatile move.
As per regulations, I must disclose that I am currently an FXCM employee.
Aussie came within 4 pips of my price projection!-Aussie could see some steep declines in a fit of profit taking if the red rising trend line is broken. Aussie could go "down-under" and target 0.9927 and then 0.9800 if 1.0028 can not be retaken soon.