AUDUSD – Corrective Pullback Into Mid-Term Resistance
|Price Action Context
On the 31st of December, the Aussie entered a wide long-term resistance from which a strong bearish impulsive move emerged. This bearish impulsive move erased all the ground made by the bulls the 2 weeks prior and price broke back below a mid-term S/R zone which now should act as resistance. In the last week, we’ve seen a corrective pullback towards this S/R zone and today’s solid bearish reaction to this zone is a good indication of increasing bearish order flow around this zone IMO.
Trending Analysis
Our long-term bias on the pairs is still bearish and weak pullbacks into the mid-term resistance can present potential shorting opportunities for those not short yet.
Key Support & Resistance Zones
R: 0.6920 – 0.6940
S: 0.6670 – 0.6730
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