AUS200 at Resistance- Technicals Remain Constructive Above 5080
- S&P/ASX 200 testing near-term resistance
- Updated targets & invalidation levels
- Event Risk on Tap This Week
Chart Created Using FXCM Marketscope 2.0
- S&P/ASX 200 testing resistance at 5233/47
- Breach targets resistance confluence into 5361 backed by 5420/41
- Support confluence & near-term bullish invalidation at 5080
- Break sub-5017 needed to put the short-side back into focus
Notes: The S&P/ASX 200 is testing near-term resistance at the confluence of the September 9th swing high, the 61.8% extension & the 50% retracement at 5233/47 after breaking above the median-line extending off the yearly high earlier this week. The breach was accompanied by a trigger break in momentum with RSI breaching 50 for the first time since July.
We could get a pullback from here but the broader focus remains weighted to the topside while above 5080. Note that the larger trend remains weighted to the downside and as such, if we breach we’ll be looking for short triggers in momentum heading into confluence resistance 5361. A breach above the yearly open / 100% extension at 5420/41 would be needed to shift the broader focus back to the topside.
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---Written by Michael Boutros, Currency Strategist with DailyFX
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