Been above and below MA this week
The AUDUSD made a break below the 100 day MA yesterday AND also a low floor from Monday, Tuesday and Wednesday's tradings (see chart below). That move solicited move selling but the momentum dried up and with the weakness in the dollar surfacing in the last hour or so, the pair has moved back above the old floor at the 0.7158 level and has tested the 100 day MA. Now the trade is stay above the floor and break above the 100 day MA OR stay below the 100 day MA and get back below the floor?
It is Friday. Markets will have Friday flows. Stocks are down. It is quadruple witching in stocks which = volatility. Data in the US in the form of Markit PMI data was weaker. Oil is up 0.29% today.
If you have a bias, you have risk and the roadmap. If you are correct, you could get a break and a run on the technical break. If you are wrong, the risk is limited. Understand it is a trade though.