Wednesday, November 22, 2006

The Australian Dollar



Here is a market I'd like to talk about.. The Australian dollar has a very accurate 3 month cycle of lows running through it's currency right now.. Notice how at each of the lows the stochastics moved below the buy line and then crossed up.. This is the pattern to look for at the next cycle low.. We want to see in late December or very early January the Australian dollar selling off but not going below the October low..We want to see a higher low than October..This tells us that the trend is still up.. Then we want to see the stochastics move below the buy line and then cross up for a buy signal.. I'm posting this chart now because I'm sure I will forget about it by the time January comes around so lets try to remember to watch this market..

1 comment:

JMHO said...

Thanks for poining out this chart. Since I am not an active forex trader, I would not have found it.

I am actually going to follow this trade and if the Australian dollar does make a move to the predicted levels, I will make a trade.

thanks

keep up the good work

JMHO

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