AUD/USD Technical Strategy: Pending Long
Prices bounced as expected after putting in a Hammer candlestick above resistance-turned-support at the top of a falling channel set from April. The pair has now cleared resistance in the 0.8997-0.9035 area to challenge a falling trend line cluster in the 0.9113-52 region, with a break higher targeting a familiar range top at 0.9335. Alternatively, a move below 0.8997 targets the August 5 low at 0.8847. Risk/reward considerations argue against entering a trade at current levels and we will stand aside for now, looking to get long in line with our fundamental outlook.
Confirm your chart-based trade setups with the Technical Analyzer.
Daily Chart – Created Using FXCM Marketscope 2.0
— Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya’s e-mail distribution list, please CLICK HERE
New to FX? Watch this Video. For live market updates, visit the Real Time News Feed