The AUD/USD pair fell for much of the session on Monday, only to pop back up and print a hammer in the previous gap by the close. This signals that we could perhaps get serious support in the area, and we certainly see this market as being in an uptrend as well. The pair is currently stuck in a bit of a descending channel though, so we aren’t sure that the usual “buy at the break of the hammer strategy will serve us well. Because of this, we need to see the channel broken, or a print above the 1.05 handle.
Written by FX Empire