We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides Download
EUR/USD
Bullish
GBP/USD
Bearish
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Bullish
More View more
Breaking news

Markets Extend Losses, Dow Jones Down Over 14 Percent for the Week

Real Time News
  • White House Advisor Kudlow: - Buy the dip $SPX $NDX $RTY
  • Commodities Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.62% Gold: -4.32% Silver: -6.92% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/uFMwSUHLiP
  • Fed Chair Powell: - Economy remains fundamentally strong - Virus is developing risks to economic activity $DXY $SPX
  • Fed Chair Powell says monitoring virus and will act appropriately $DXY - BBG
  • With market fears running rampant on the coronavirus, stocks are undergoing a nasty sell-off while the Dollar is rallying against the high-yielding Mexican #Peso. Get your $USDMXN technical analysis from @PaulRobinsonFX here: https://t.co/5e7owNOyTg https://t.co/VY8MWVhvTs
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.05%, while traders in USD/CAD are at opposite extremes with 73.48%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/QTWGPOR6bP
  • Indices Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.16% France 40: -0.18% US 500: -2.46% Wall Street: -3.14% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/eN2E5ICK1n
  • France confirms 57 coronavirus cases as of Friday - BBG
  • Worlds largest trade fair cancelled in Berlin due to coronavirus - BBG
  • The $CAD has put in a weak start to 2020 as safe haven assets are in the limelight on fears surrounding #coronavirus. Get your market update from @AustinKarlFX and @FxWestwater here: https://t.co/YutnK6qSRH https://t.co/oOypzw0anQ
AUD/USD in Consolidation. GBP/AUD Risks Reversal, AUD/NZD More so

AUD/USD in Consolidation. GBP/AUD Risks Reversal, AUD/NZD More so

2018-10-19 22:00:00
Daniel Dubrovsky, Analyst
Share:

Talking Points – AUD/USD, GBP/AUD, AUD/NZD, Head and Shoulders Pattern

  • Critical resistance prevented major AUD/USD upside reversal last week, key support held
  • GBP/AUD is closer to a reversal of the dominant uptrend from August, proceed with caution
  • AUD/NZD ends consolidation with a bearish reversal pattern, six-month uptrend is at risk

Have a question about what’s in store for Australian Dollar next week? Join aTrading Q&A Webinarto ask it live!

AUD/USD Technical Outlook: Neutral

The Australian Dollar spent most of its time trading sideways against its US counterpart last week. AUD/USD was initially on the verge of an upside reversal, but as anticipated key resistance held around the December/May 2016 lows. Meanwhile immediate support areas are preventing downside progress.

The first one is the September 11th low at 0.70830 which is also closely aligned with the 38.2% Fibonacci extension. Descending through that then leaves the October 8th low exposed at 0.70390. Until meaningful progress is made in either direction, the technical outlook for AUD/USD will have to be neutral.

AUD/USD Daily Chart

AUD/USD in Consolidation. GBP/AUD Risks Reversal, AUD/NZD More so

GBP/AUD Technical Outlook: Slightly Bearish

Unlike AUD/USD, GBP/AUD descended through a couple of critical support barriers last week. First, the range of former resistance from March/April between 1.84 and 1.85. Then the 2015/2016/2018 horizontal line at 1.83436. However, towards the last few moments of Friday, the British Pound found itself pushing higher against the Australian Dollar, leaving it right on the former area,

One barrier does need to be cleared until we can argue that GBP/AUD is about to reverse the upside progress it has made since August. This is a rising range of support from then, and descending through it would be a strong bearish signal. Given that there may be a chance of such an occurrence this week, the GBP/AUD technical outlook will change to a slightly bearish bias.

GBP/AUD Daily Chart

AUD/USD in Consolidation. GBP/AUD Risks Reversal, AUD/NZD More so

AUD/NZD Technical Outlook:Bearish

For some time now, AUD/NZD prices have been largely trading sideways. This was finally broken last week after a descent through 1.08430 as the pair closed at its lowest since June 28th. Looking at the weekly AUD/NZD chart, we can actually see a head & shoulders bearish reversal pattern. Last week’s close marked the break of the neckline.

With that in mind, AUD/NZD may be on the verge of overturning the upside progress it has made for the past six months or so. In the long run, and by measuring the distance between the head and neckline of the candlestick pattern, the pair may face the April 2015 rising trend line. But getting there first requires descending through 1.07777 followed by 1.06699 which may hold as support areas.

Taking this into consideration, the AUD/NZD technical outlook will have to be bearish, especially if we get confirmation of the bearish pattern via more closes lower next week. For updates or questions about the Australian Dollar, you may follow and reach out to me on twitter here at @ddubrovskyFX.

AUD/NZD Weekly Chart

AUD/USD in Consolidation. GBP/AUD Risks Reversal, AUD/NZD More so

** Charts created in TradingView

FX Trading Resources

--- Written by Daniel Dubrovsky, Junior Currency Analyst for DailyFX.com

To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.