Technical Analysis AUDUSD : 2014-02-17

Good afternoon, dear traders. Tomorrow at 14:00 (CET, server time) we expect the net purchases of U.S. securities (TIC Long-Term Purchases) to be released. This indicator is issued by the Ministry of Finance once a month and reflects the dynamics of the long investment in the American economy. If the actual value is below the projected level (-24.7 B), then we should expect a weakening in the U.S. currency.

Here we consider the technical signals for the Australian Dollar. The trend channel continues its upward movement. According to the ParabolicSAR correction is to be completed. But we should not forget that full regrowth confirmation can be gotten only when the divergence of the RSI(14) with the upward breakthrough of this indicator at 63.70968. In our opinion, as soon as it has happened, there is the high probability of overcoming the resistance at 0.90687. This the key level will give an impulse to the currency pair, as it is reinforced with previous values of the ParabolicSAR and the first Pivot resistance.
It is recommended to place a pending order to buy above this level 15 minutes before Long-Term Purchases. The order is kept only in case the index falls below a certain level. The preliminary risk limitation is set according to a recent low at 0.89269. When you open a position your stop should be moved after the ParabolicSAR. Note that in any case, the position should be kept not longer than an hour, as at 15:00 (CET, server time) the index of business optimism in the residential construction sector is to come out. Conservative traders can switch positions into breakeven state 15 minutes prior to the release of this figure.

Position openingabove 0.90687
Targetbelow 0.91250
Preliminary stop lossbelow 0.89858

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