AUD/USD Forex Technical Analysis – August 21, 2015 Forecast

The AUD/USD is trading sideways to lower. The current price action suggests that buyers are coming in on the dips, but that it isn’t strong enough to warrant a breakout to the upside yet.

The main trend is down according to the daily swing chart. The short-term range is .7439 to .7215. Its pivot is .7327. This price is controlling the short-term direction of the market. Trader reaction to this price will set the tone for the day.

A sustained move under this level is likely to lead to a test of an uptrending support angle at .7285. The next angle comes in at .7250. This is the last angle before the .7215 main bottom.

Overtaking the pivot at .7327 will signal the presence of buyers. The first objective is a potential resistance cluster at .7355 to .7359. The next resistance angle over this zone drops in at .7367. The Aussie could accelerate to the upside over this angle.

Taking out .7367 with conviction is likely to lead to a test of the main top at .7439 and a long-term downtrending angle at .7455. This action will turn the main trend to up which could lead to a test of the retracement zone at .7476 to .7538.

Watch the price action at .7327. This will tell us whether the bulls have returned or if the bears continue to have control.