Last week we commented the chance of a rebound for commodities and currencies exposed to them, after the massive sell of last year. We like the technique setting of AUDUSD though May could not be the best moment to enter due to the unfavorable seasonal window of this month as explained in the dedicated section.
The graph shows us the achieving of a sell excess phase with the green flags, at least according to the Rsi-Roc mix on weekly basis. Over the past 15 years, the power of these lights has anticipated the primary lows (2001 and 2008) or at least encouraged a temporary stop phase in the fall (2013). The process of formation of a primary low could be prolonged and laborious, but the feeling here is that in 2016 (year of the very long-term cyclical bottom of the Aussie) we will be able to start accumulating after the month of May.
The daily charts have not yet formalized the signal but a closuree above the top of March would formalize a double bottom (Graphic source: Bloomberg and Metastock).
The graph shows us the achieving of a sell excess phase with the green flags, at least according to the Rsi-Roc mix on weekly basis. Over the past 15 years, the power of these lights has anticipated the primary lows (2001 and 2008) or at least encouraged a temporary stop phase in the fall (2013). The process of formation of a primary low could be prolonged and laborious, but the feeling here is that in 2016 (year of the very long-term cyclical bottom of the Aussie) we will be able to start accumulating after the month of May.
The daily charts have not yet formalized the signal but a closuree above the top of March would formalize a double bottom (Graphic source: Bloomberg and Metastock).
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