I am a big fan over buying support and selling resistance as a low risk (dollarwise) trade. This reduces the probability as compared to waiting for confirmation or a clean bounce. So here it is. The down trend is extended in the short term and the interemediate term is testing the 38% fibonacci retracement level. A purchase here only requires a 100 pips stop loss. This appears to be a bull flag formation as well. If we can break resistance could push a 350 pip move above the break and 400 pips total for a 4 to 1 risk to reward. You only have to be right 20% with that risk to reward to break even. I like being right more than that.
I think the fundaMENTAL John Jagerson would even agree that fundamentally, the Aussie is over sold and the greenback is overbought making this a good play from the economic point of view.
Again like the Eur/Usd trade, you can see I put my money where my mouth is. I take every trade I post.
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