AUD/USD AUDUSD’s break of 0.7420 seems presently dragging the pair towards more than five-month old ascending trend-line, at 0.7360, breaking which 0.7330
AUDUSD’s break of 0.7420 seems presently dragging the pair towards more than five-month old ascending trend-line, at 0.7360, breaking which 0.7330 and the 0.7280 are likely following supports to appear on the chart. Given the pair continue declining after 0.7280 break, the 0.7240 & 0.7220 may offer intermediate halts before 0.7160 number pleases sellers. During the quote’s reversal from current levels, 0.7420 & 0.7470 can entertain short-term buyers; however, 50-day SMA and a nearby trend-line, around 0.7500, could restrict its further upside. If Bulls manage to propel prices above 0.7500, chances of witnessing the 0.7520 and the 0.7555-60 resistances can’t be denied.
With the overbought RSI raising barriers for EURAUD’s further up-moves, pair’s drop below 1.5110 can quickly fetch it to 1.5070, 1.5040 and then to 1.5000 psychological mark. Though, support-line of immediate ascending trend-channel, at 1.4960 now, becomes crucial during the pair’s additional declines after 1.5000, which if broken could trigger its south-run to 1.4920, 1.4880 and the 1.4800 consecutive support-levels. On the upside, 1.5230 and the channel-resistance of 1.5290 could act as adjacent stops, breaking which 100% FE level of 1.5330 should be traders’ favorite. Moreover, pair’s successful trading above 1.5330 enables it to challenge 1.5350 and the 1.5420 north-side figures.
Even if six-week old ascending trend-line triggered AUDJPY’s bounce, break of immediate resistance-line, at 82.65, becomes necessary for the pair to aim for 83.00 and the 83.40 TL. Given the quote surpasses 83.40, the 83.80 & the 84.20 may act as buffers while 84.50-55 horizontal-line seems crucial in case of its additional north-run. If at all the pair clears 84.55 barrier, it can target 85.00 and the 85.50 resistances. Meanwhile, the 81.85 continue being strong nearby support for the pair, breaking which it can drop to 81.55, the 81.00 and then to 100% FE level of 80.80. Should bears dominate prices after 80.80, the 80.00 psychological magnet could be an intermediate stop prior to reigniting possibilities of 79.15 come-back.
While a closing break of nine-month old ascending trend-line, at 1.0460, could extend AUDNZD’s south-run towards 1.0410 and then to 1.0370, oversold RSI indicates brighter chances for the pair’s U-turn towards 1.0510 and the 1.0570. Though, pair’s break of 1.0570 needs to justify its strength by clearing 200-day SMA level of 1.0600 and the 1.0610-15 horizontal-line, after which buyers can aim for 1.0650 & 1.0690 resistances. Alternatively, the 1.0370 break can make traders witness 1.0330 and the 1.0300 round-figure before last-year low, near 1.0230, reprints on the chart.
Cheers and Safe Trading,
Anil Panchal
An MBA (Finance) degree holder with more than five years of experience in tracking the global Forex market. His expertise lies in fundamental analysis but he does not give up on technical aspects in order to identify profitable trade opportunities.