AUD/USD Downtrend to Continue Amid Forecast of Increasing Durable Goods Orders

AUD/USD – Technical Analysis for top Binary Options Brokers

Australia – CB Leading Index

Binary Options Trading signals

Today, at GMT 4:30 p.m., the Conference Board Inc will release the month-over-month leading index for Australia, which measures the changes in the level of a composite index based seven other major fundamental indicators.

Since the CB leading index aggregates some of the other indicator data, binary options investors consider this to be an important representation of the overall Australian economy. However, since most of these data are previously released, the CB leading index tends to have a minimized immediate market impact.

Last month, the CB leading index increased by 0.5%, and over the last six months, it increased almost every month. If the index increases once again this month, it may have a bullish impact on the valuation of the Australian Dollar against other major currencies.

United States – Core Durable Goods Orders

On Wednesday, at GMT 2:30 p.m., the US Census Bureau will release the month-over-month core durable goods orders figure, which measures the changes in the total value of all new purchase orders made to the US manufacturers for durable goods over the past month. However, the US Census Bureau excludes goods from the transportation sector in this figure in order to offer an accurate picture.

Binary options traders consider the US core durable goods orders to be the primary gauge of production situation in the economy, as an increase in purchase orders indicates that US manufacturing activity and growth will happen in the near future. Hence, it is one of the key leading indicator of the overall US economy.

Last month, the US core durable goods orders increased by 0.8% and the forecast for this month is currently set at an increase of 0.2%.

Trade Recommendation for the AUD/USD

AUD/USD Analysis -Top Binary Options Brokers - Dec 19-23 2016

Since breaking below the uptrend line, the AUD/USD price went down by around 200 pips over the last week. In fact, we expected the 0.7285 level to provide ample support to AUD/USD, but earlier today, the pair once again broke below this level. Not only that, so far, the AUD/USD broke below last week’s low as well, indicating a strong bearish momentum in the market.

The Australian CB leading index has been going up for the last few months, but its effect would be minuscule compared to more important data release this week, such as the US core durable goods orders figure, which is expected to go up once again.

Hence, we believe the current downtrend would likely to continue this week.

Under the circumstances, it would be recommended that binary options traders consider placing a PUT order for the AUD/USD with their top binary options brokers at the market price, as long as it is below the 0.7285 level on the daily time frame. This is because the 0.7285 level should now act as a major resistance.

Top Binary Options Brokers & Robots to trade AUDUSD

Top US Broker: BinaryMate

Best Auto Trading Robot: OptionRobot.com

US Regulated Broker: NADEX

Asif Imtiaz

Asif worked as a prop trader for almost a decade, and later he managed trading operations for one of the largest foreign exchange strategy developers in Europe. Currently, he works as a trading consultant to several brokers and writes about various tech and financial topics. You can reach him at contact@asifimtiaz.com

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