AUD/USD Forex Technical Analysis – March 29, 2019 Forecast

The Australian Dollar is trading slightly higher on Friday, supported by increased demand for riskier assets amid optimism that the renewed trade talks between the United States and China will lead to a long-awaited trade deal.

Earlier in the session, sources told Reuters that China has made proposals in talks with the United States on a range of issues that go further than it has previously.

At 09:20 GMT, the AUD/USD is trading .7087, up 0.0012 or +0.18%.

Daily Technical Analysis

The main trend is up according to the daily swing chart. However, momentum is trending lower. A trade through .7041 will change the main trend to down. A move through .7168 will signal a resumption of the uptrend.

The minor trend is down. This is helping to support the shift in momentum. A trade through .7057 will reaffirm the downtrend. This could lead to a test of the next minor bottom at .7057. A trade through .7148 will change the minor trend to up.

A pair of retracement zones continues to control the price action. The major retracement zone is .7079 to .7153. Inside this zone is another retracement zone at .7105 to .7129.

Daily Technical Forecast

Based on the early price action, it looks like traders are trying to build support near an uptrending Gann angle at .7078 and the 50% level at .7079.

Bullish Scenario

A sustained move over .7079 will indicate the presence of buyers. If this creates enough upside momentum then look for a possible really into a 50% level at .7105 and a downtrending Gann angle at .7108. Sellers could come in on the first test of this area.

The Gann angle at .7108 is the trigger point for an acceleration to the upside with the next target the Fibonacci level at .7129.

Bearish Scenario

A failure to hold the Gann angle at .7078 will signal the presence of sellers. This could lead to a quick test of the longer-term uptrending Gann angle at .7069. This is followed by yesterday’s low at .7064. This is the trigger point for an acceleration to the downside with the next target angle coming in at .7041.