2016-07-15 12:09:45

Technical data of the currency pair:

Previous closing: 0.7631; Daily range: 0.7608-0.7676;
Opening: 0.7631; 52- week range: 0.6824-0.7836;
Annual revenue: +3.25%; Change in % for the previous day: +0.30.

Analytical review:

  • In the past two weeks the price of the Australian dollar has grown by 200 points against the USD. At the moment resistance level for the pair 0.7650;
  • Yesterday, important Australian statistics was released, which showed that the change in the employment rate in June was 7900, which is lower than the previous level of 19200;
  • According to the US Bureau of Labor Statistics, producer price index (PPI) June has grown to 0.5% against the previous value of 0.4% and market expectations of 0.3%;
  • The AUD is a commodity currency. The decline in oil prices puts pressure on the AUD. During the Asian session the price of crude oil WTI fell by over 1%;
  • “Commitments of Traders” shows the increase in number of short positions by 6074 contracts, up to 29008. 19512 contracts have been opened for the short positions.

Resume:

  • Poor data on the Australian economy positive US data and the decline in oil prices decrease demand for the AUD. According to “COT” large investors prefer short positions.
  • In the near future the AUD is likely to fall against the USD. It is advisable to open short positions.

Trading tips for the currency pair AUD/USD

Key levels:
Support levels: 0.7575, 0.7530 and 0.7470.
Resistance level: 0.7650.

Medium-term trading, H1
Currently, the currency is traded at the resistance level of 0.7650 . If the price maintains this level and in case of the respective confirmation (such as Price Action pattern), we recommend to open short positions. Risk per trade is not more than 2% of the capital. Stop order can be placed slightly above the signal line. Take profit can be placed in parts at the levels of 0.7580, 0.7535 and 0.7475 with the use of trailing stops.

Medium-term trading, H1
Medium-term trading, H1

Short-term trading, М15
Currently, the currency is traded in the range of 0.7625-0.7650. 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