AUD/USD Doji Emerging On The Daily Denotes Indecision


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Talking Points

  • Strategy: Short (From 0.8530) Stop: 0.8540 (Daily Close) Target: 0.8330
  • Doji On The Daily Suggests Indecision From Traders
  • H4 Reveals Morning Star Emerging In Intraday Trade

" style="text-align:justify"> AUD/USD is in the process of producing a Doji formation in late European trading. Yet the sign of indecision may be insufficient to suggest a recovery over the short-term. Amid a core downtrend shorts remain preferred with a potential target offered by the July 2010 lows near 0.8540. A daily close above 0.8450 would be required to suggest a base for the pair.

AUD/USD: Indecision Evident In Early Trade

AUD/USD Doji Emerging On The Daily Denotes Indecision

Daily Chart - Created Using FXCM Marketscope 2.0 Volume Indicator Available Here

The four hour chart paints a similar picture to the daily with a Gravestone Doji on offer. Yet the close of the current candle in its present position would mark a Morning Star formation. Which would offer a more definitive bullish reversal signal in intraday trade.

AUD/USD: Morning Star Pattern Taking Shape

AUD/USD Doji Emerging On The Daily Denotes Indecision

4 Hour Chart - Created Using FXCM Marketscope 2.0 Volume Indicator Available Here

By David de Ferranti Currency Analyst DailyFX

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" style="text-align:justify"> Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.


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