Aussie 200 currently sitting in the most traded zone since start of 2022 as can be seen bookmarked by the two biggest HVNs (High Volume Nodes) on screen. This zone is between 7070 and 7177
The last few days have obviously been very negative with the index losing over 2% this week and all of it's major dMAs
However, the bounce off lower support, which also coincides with the VPOC (from start of 2022) was something that should give hope to any bulls out there.
Plenty want to be ultra bullish or bearish with calls of ATH or new lows coming in daily but reality is we are stuck in a sideways market.
The range is getting tighter as can be seen by the large wedge formation but until we break out of this wedge one sided traders will most likely get chopped out of their positions.
If I were a bull I'd want to see the HVNs cleared along with the VPOC for the past year which believe it or not is the exact high of the two HVNs mentioned earlier - 7177. Once this level is cleared the next resistance is those dMAs all around mid 7200's. There is a volume void (on shorter times frames) between 7200 and 7307, so a break back into the 7200's should provide a good chance to test the upper range of the void.
Recently I mentioned both China and BHP also testing key lower supports. If I were a bear I'd want to see both lose these supports so that the Aussie could finally start testing the waters below.
Another point to give bears some hope are the bearish crossovers on both the daily RSI and MACD that have just come to pass.
Although both of these are lagging indicators the success rate is incredibly high for a decent sell to occur when these triggers hit.
Anyway, that's it from me so as always play safe, always DYOR and good luck whichever way you trade...
Aussie 200 Daily (Oanda)
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(20min delay)