July 16th, 2015 5:22am GMT, London UK
Today’s Binary Options Trading Strategy:
• Currency Pair: AUD/USD
• Timeframe: H4 (Hourly Chart)
• Binary Option Trading Recommendation: Seek binary call options on dips below 0.7380
• Upside Potential: The upside potential for this binary call option is 465 pips to 0.7845
• Downside Potential: The downside potential for this binary call option is 180 pips to 0.7200
The AUD/USD has started to trend sideways after its most recent move to the downside took this currency pair from its intra-day high of 0.7848 reached on June 18th 2015 to its current intra-day low of 0.7354 which was recorded yesterday on July 15th 2015. A new horizontal support level developed and this currency pair has been trading inside of it with small moves above it which has strengthened the support level over the past few trading sessions as downward pressure has been depleted. The best options trading site has now a binary call option recommendation in the AUD/USD currency pair.
Price action is currently trading inside of its horizontal support level from where this currency pair started to stabilize. The AUD/USD is anticipated to advance into its descending resistance level and breakout above it for an accelerated move higher. Binary options traders can benefit from the expected breakout with binary call options. Today’s binary options trading strategy suggests call options to be placed on dips below 0.7380 for a risk/reward ratio of 1.0/2.58.
Volatility decreased as the AUD/USD was exposed to its corrective phase, but binary option traders should be prepared for a sharp increase in volatility as this currency pair is trading inside of an important support level. Buyers and sellers are set to face off inside of this support level and test its validity. Sellers are likely to attempt a breakdown below it which would extend the corrective phase. Buyers are anticipated to successfully force a breakout above its descending resistance level from where this currency pair can accelerate to the upside.
The AUD/USD will move into its first resistance level at its descending resistance level around the 0.7530 mark and a further increase in volatility is expected at this level. A breakout will clear the path to its intra-day low of 0.7587 which was reached on June 29th 2015. The next resistance level awaits the AUD/USD at its intra-day high of 0.7738 recorded on July 1st 2015. This level represents the last time its descending resistance level reversed an advance. The final resistance level is located at its intra-day high of 0.7848 which was reached on June 18th 2015.
The following economic data out of Australia already impacted the base currency, the Australian Dollar, of the AUD/USD currency pair:
Consumer Inflation Expectations for the month of July:
• Expectations: An increase of 3.1% was expected for the month of July
• Previous Announcement: An increase of 3.0% was reported in the month of June
• Released Data: An increase of 3.4% was reported for the month of July
• Impact on the Australian Dollar: The reported increase in consumer inflation expectations has applied upward pressure on the Australian Dollar; this favors binary call options in the AUD/USD currency pair
In addition the following economic report out of the United States is expected to impact the quote currency, the US Dollar, of the AUD/USD currency pair:
Philadelphia Federal Reserve Index for the month of July:
• Expectations: A level of 12.0 is expected for the month of July
• Previous Report’s Data: A level of 15.2 was reported for the month of June
• Impact on the US Dollar: The expected slowdown in the Philadelphia Federal Reserve Index is likely to pressure the US Dollar to the downside which favors binary call options in the AUD/USD currency pair