AUD/USD Forex Technical Analysis – Could Have Enough Momentum to Overtake .7210 Later Today

The Australian Dollar is trading higher and in a position to change the main trend to up after crossing to the strong side of a downtrending Gann angle. Besides the technical developments, the risk-sensitive Aussie is now trading marginally higher for the week, despite interpreting Tuesday’s central bank statement as signaling more monetary easing to come.

At 09:29 GMT, the AUD/USD is at .7187, up 0.0020 or +0.27%.

The Aussie is also benefitting from a weaker U.S. Dollar, which is falling as investors increased bets Joe Biden would win the U.S. presidency and offer additional fiscal stimulus after the elections. The news is also leading to increased demand for higher risk assets like stocks and commodity-currencies like the Australian Dollar.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. A trade through .7209 will change the main trend to up. A move through .7096 will signal a resumption of the uptrend.

The minor range is .7209 to .7096. The AUD/USD is currently trading on the bullish side of its 50% level at .7152.

The short-term range is .7414 to .7006. Its retracement zone at .7210 to .7258 is the primary upside target. It is also controlling the near-term direction of the AUD/USD.

Daily Swing Chart Technical Forecast

Look for the upside bias to continue as long as the AUD/USD hold above the minor pivot at .7152. If this creates enough upside bias then look for the buying to possibly extend into the resistance cluster at .7209 – .7210. Overtaking this area is likely to trigger an acceleration to the upside with .7258 the next major upside.

Crossing to the strong side of the uptrending Gann angle at .7206 will also be a sign of higher prices to follow.

On the downside, a failure at .7152 could trigger an acceleration to the downside with the next major target .7096 – .7095.

The first Gann angle support comes in at .7136. This is followed by a pair of uptrending Gann angles at .7116 and .7106.