AUD,NZD

AUD/USD: Expect plenty of intraday volatility, possibly a 200-pip day

The USD has turned bearish in the short-term, the AUD remains bearish on the crosses, and we are expecting heavy end-of-month flows; sounds like a perfect recipe for volatility.

I think we may see both sides of the .9580/.9700 range but my short-term bias is turning slightly bullish given the turn against the USD overnight. I’ve posted the short-term chart in the members but it would not surprise me if we saw a 200 pip range in the AUD/USD today (wishful thinking perhaps).

I will buy any big intraday dips to .9580/90, but I won’t try selling at .9700, preferring to wait for intraday spikes to .9775 before considering a short-term short trade.

  1. Morning Sean! EURCHF held up better than USDCHF. Any view on the pair? Also the double bottom in cable seems to be targeting 15300, which is not far from here.

  2. Good points Jasper. Cable support now very strong at 15150 neckline and buying dips favoured. We could see it well above 153 but lot will depend on crosses like EUR/GBP.
    Agree that EUR/CHF holding reasonably well and that’s probably the best way to play bearish CHF now, rather than USD/CHF

  3. monthly candle of eur/aud is 800 pips. way way too bearish for aussie. I don’t understand any logical reason to hammer the aussie unless you have no option to sell. aussie has not participated in yesterday’s rally and looking at the candle i feel it will start its rally from today. I don’t expect any big sell off in aussie today

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