AUD/USD Consolidation Continues With Candlestick Signals Scant
- AUD/USD Technical Strategy: Sidelines Preferred
- Long upper wick signals doubt amongst the bulls at resistance
- Test of key support awaits bullish candle to signal bounce
The Australian Dollar continues to consolidate within the 0.9320 to 0.9440 range with little in the way of clear candlestick signals to suggest a directional bias. While a long upper wick above 0.9440 on one of the daily candles suggests hesitation from the bulls it is insufficient to suggest a bearish reversal.
AUD/USD: Bulls Lose Steam Near Key Resistance
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
Taking a look at a shorter timeframe; the pair is testing noteworthy intraday support at 0.9360. However, at this stage bullish patterns appear absent for the pair, which casts doubt on the potential for a bounce over the session ahead.
AUD/USD: Testing Key Support With Reversal Patterns Absent
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.