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AUDUSD Downtrend Continues After Price Action Sell Signals

The AUDUSD downtrend continued moving lower on Friday after the market broke down from an inside pin bar setup as well as a fakey setup that we had been discussed in Thursday's commentary. We can see in the chart below that the market was obviously in a sustained downtrend and then it retraced back up to resistance near 0.9325. Once there, the market stalled for a couple of days, forming a fakey sell signal and inside pin bar sell signal in the process. Today, the downtrend resumed as those sell signals saw price break lower. We could see more downside movement in this market in the coming days given the very weak technical picture. Traders can continue to watch for price action sell signals on any retraces back to resistance next week.

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