Overview:
- The support for the AUD/USD pair is found at the level of 0.6907 which coincides with the double bottom. In the H1 chart, the ratio of 38.2% Fibonacci retracement level represents the resistance line that we saw on September 8, 2015. Moreover, it should be noted that the major resistance will set at 0.7061 today. So, according to the previous events, the AUD/USD pair is going to move between the resistance (0.7061) and the support (0.6907) levels this week. As a rule, history will probably repeat itself at this level again for that we expect a range of 154 pips. Consequently, if the trend fails to close below the level of 0.8642, it will be a good opportunity to buy above 0.6907 with the first target at 0.7003. Hence, it will be continued straight towards 0.7062 (but the level of 0.7062 will represent the ratio of 38.2% Fibonacci retracement levels. For this reason, it will act a strong resistance in coming days). The stop loss should always be taken into account because it should never exceed your maximum exposure amounts. As a consequence, the best location to set your stop loss should be placed below the level of 0.6907 (the double bottom in H1 and H4 charts).
