AUDUSD: Trading from the short side

Jim Langlands FX Charts

24 Hour: Prefer to sell rallies

Medium Term: Mildly Bearish.

Preferred Strategy: The momentum indicators are mixed on Monday, with the short term charts looking mildly positive, although at the same time the dailies look increasingly negative, so a cautious stance is required, with any directional move likely to come via the Chinese data.

Once again, trading from the short side, selling rallies, with a SL above 0.7945 could be a plan for Monday although I doubt that we head below Friday’s 0.7838 low today.

Economic data highlights will include:

M: China Retail Sales, Industrial Production, Urban Investment (July)

T: New Motor Vehicle Sales, RBA Minutes

W: WBC Leading Economic Index, Wage Price Index

T: Unemployment

F: China House Price Index

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

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