The 50 fib that held up the Aussie a few weeks back now looks to be in trouble. A large number of stops likely sitting just below this level and I now expect these to be targeted in the days ahead.
The 1:1 (White) initially attracted some decent buying from the bulls but the lack of follow through today saw a number of stops taken out below this level and with the 50 and 61.8 fibs offering little to no support, the best strategy looks to be selling intraday 1:1 rallies as the bigger players look to target stops below the major 50 fib at 0.85400.
The smart money has been on the offer selling a number on 1:1 rallies after the 1:1 (White) outlined in the H1 chart failed to find any follow though. The next intraday level to keep a close eye on is the 1:1 (Purple) at 0.86400, if this level fails to attracted solid selling interest the next level to watch will be the 1:1 (Light blue) and 38.2 fib at 0.86700/750.
- A 1:1 refers to a current correction being equal in length to a prior correction
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