2016-10-14 12:41:35

Review and dynamics
With the opening of today's trading day the pair AUD/USD has been going up after yesterday's rebound from support level of 0.7500 (ЕМА200 on the daily chart). Uptrend in the pair AUD/USD will continue until the pair maintains above the key support levels of 0.7500 (ЕМА200 on the daily chart) and 0.7445 (Fibonacci 23.6% after the decline since July, 2014).

Our opinion
Currently, the pair is at the level of 0.7610, almost at the top of the upward narrowing triangle.

The upper limit of this triangle is near resistance level of 0.7700.

Upward narrowing triangle is a pattern of trend continuation.

Breakout of its upper limit at the level of 0.7700 may trigger further rise in the pair AUD/USD.

It is also necessary to pay attention to the range between the levels of 0.7445 (Fibonacci 23.6%) and 0.7700 (highs of August, September and also the upper line of the descending channel on the weekly, daily charts and the upper limit of the triangle).

The level of 0.7700 is the key level for continuation of the rise in the pair.

In the case of breakout of resistance levels 0.7820 (Fibonacci 38.2% and highs of April), the pair AUD/USD can go up to the levels of 0.8000 (ЕМА144 on the weekly chart), 0.8130 (Fibonacci 50.0%) and 0.8200 (ЕМА200 on the weekly chart).

As an alternative scenario the pair can break down support level of 0.7445 (Fibonacci 23.6%). If downtrend continues, the pair can decline to the levels of 0.7325, 0.7140 (lows of May).

This scenario will be feasible if the price breaks down support levels of 0.7550 and 0.7500.

On 4 -hour, daily and weekly charts the indicators OsMA and Stochastic give signals for long positions.

Support levels: 0.7550, 0.7500, 0.7445, 0.7325, 0.7290, 0.7200 and 0.7140.
Resistance levels: 0.7610, 0.7700, 0.7820, 0.7900 and 0.8000.

Trading tips
Sell on the market. Stop-Loss: 0.7635. Take-Profit: 0.7550, 0.7500, 0.7445, 0.7325, 0.7290, 0.7200 and 0.7140.
Buy Stop: 0.7635. Stop-Loss: 0.7590. Take-Profit: 0.7700, 0.7730, 0.7800, 0.7820 and 0.7900.

At the top of the triangle
At the top of the triangle

Rebound from the level of 0.7500
Rebound from the level of 0.7500