2016-06-23 11:29:12

Technical data of the currency pair:
Previous closing: 0.7496; Daily range: 0.7496-0.7539;
Opening: 0.7496; 52- week range: 0.6824-0.7851;
Annual revenue:-6.11%; Change in % for the previous day: +0.81;

Analytical review:

  • In the last few trading sessions the AUD has grown by over 150 points against the USD. During yesterday’s session the AUD continued its rally and the pair rose by over 0.8%.
  • Yesterday, important US statistics was released, which showed that sales in the housing secondary market in May amounted to 5.53 million, which was less than the forecast of 5.54 million houses;
  • The AUD is a commodity currency. Demand for the AUD is supported by the rise in oil prices. During the Asian session the price of crude oil WTI rose by over 0.5%;
  • “Commitments of Traders” shows ambiguous picture. Large investors have reduced the number of long positions by 38321 contracts. Short positions have been also reduced by 27651 contracts;
  • The news of this week will include: sales of new homes in the USA (today) and base orders for durable goods in the USA (Friday). This data can affect movement direction in the pair and volatility in the market..

Summary:

  • Poor data on the US economy and the rise in oil prices cause the rise in demand for the AUD. According to “COT” large investors do not have general opinion about the AUD.
  • In the near future the AUD is likely to rise against the USD. It is advisable to open long positions.

Trading tips for the currency pair AUD/USD

Key levels:
Support levels: 0.7500 and 0.7440.
Resistance levels: 0.7585 and 0.7715.

Medium-term trading, H4
At the moment the currency has broken out and consolidated above the local resistance level of 0.7500. If the price maintains the mirrored support level of 0.7500 and in case of the respective confirmation (such as Price Action pattern), we recommend to open long positions. Risk per trade is not more than 2% of the capital. Stop order can be placed slightly below the signal line. Take profit can be placed in parts at the levels of 0.7580, 0.7650 and 0.7710 with the use of trailing stops.

Medium-term trading, H4
Medium-term trading, H4

Short-term trading, М15
Currently, the currency is traded in the range of 0.7510-0.7535. We recommend to enter the market after breaking out and testing of this zone. Positions can be opened at the signal line and the nearest support/resistance level. Risk per trade is not more than 3% of the capital. Stop order can be placed slightly above/below the signal line. Take profit can be placed in parts of 50%, 30% and 20% with the use of trailing stops.

Short-term trading, М15
Short-term trading, М15