Overview:
- The resistance of the AUD/USD pair was set at the level of 0.7773 and the support is found at 0.7682. So, according to the previous events, the AUD/USD pair will be traded between the resistance and the support. As a rule, history will probably repeat itself at this level again. Therefore, we expect a range about 91 pips on May 27, 2015. Accordingly, if the trend fails to close below the level of 0.7773, then it will be a good opportunity to sell below the level of 0.7773 with the first target at 0.77700, then it will be continued straight towards 0.7682 in coming minutes.The stop loss should always be taken in account because it should never exceed your maximum exposure amounts. Hence, the best location to set your stop loss should be placed above the resistance of 0.7780.
Observations:
- The Risk of 60 pips must make a profit of 91 pips.
- The value of 38.2% Fibonacci retracement levels is: 0.7773.
- Volatility: 172.84. As a rule, the market is highly volatile if the previous day had a huge volatility.
- In the short term, the support is likely to be found at the level of 0.7682 and the resistance is seen at 0.7773.
- It should be noted that if there is no significant news to influence, the market price will be moving from pivot point to resistance 1 or support 1. But if there is significant news to influence, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2 and even resistance 3 or support 3.
