Last Friday the pair AUD/USD rebounded from strong resistance level of 0.7225 (ЕМА144 on the daily chart) due to strong US data. The decline has reached support level of 0.7125 (ЕМА50); today, the price slightly rose against Friday’s decline as part of correction.

However pressure on the commodity currencies continues.

On the daily chart the indicators OsMA and Stochastic give sell signals.

Breakout of the support level of 0.7125 (ЕМА50 on the daily chart and ЕМА200 on 4-hour chart) might trigger the decline in the pair to 0.6975 (lows of February), 0.6910 (Fibonacci 0% to the last wave of decline in the pair since July 2014), and to the key support levels of 0.6350 and 0.6000 (lows of 2008 – 2009).

Fundamental data gives ground to expect decline in the AUD/USD in the medium-term.

Support levels: 0.7125, 0.7100, 0.7000, 0.6975, 0.6910 and 0.6860.
Resistance levels: 0.7225 and 0.7330.

Trading tips


Sell Stop: 0.7090.
Stop-Loss: 0.7135.
Take-Profit: 0.7000, 0.6975, 0.6950, 0.6910, 0.6860 and 0.6810.

Buy Stop: 0.7150.
Stop-Loss: 0.7110.
Take-Profit: 0.7225, 0.7300, 0.7330 and 0.7510.


AUD/USD: correction or breakout?

 

AUD/USD: correction or breakout?




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