News & Analysis at your fingertips.

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. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
AUD/USD Awaiting Reversal Pattern Near Range-Top

AUD/USD Awaiting Reversal Pattern Near Range-Top

David de Ferranti, Currency Analyst

Talking Points

  • AUD/USD Technical Strategy: Short Pending
  • At A Crossroads With Bearish Candlesticks Lacking
  • Evening StarSees Limited Follow-Through

AUD/USD is at a critical juncture as it presses against the upper bound of its recent range with bearish reversal signals lacking. The emergence of a key candlestick pattern near the 0.8885 would be seen as a fresh opportunity to enter a short position. While a daily close above the nearby barrier would open the scope for further gains and negative a bearish technical bias.

Traders should note the upcoming FOMC decision holds the potential to spark significant intraday volatility for the pair, which may obscure technical readings.

AUD/USD: Awaits Reversal Signal Near 0.8880 Region

AUD/USD Awaiting Reversal Pattern Near Range-Top

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

The four hour chart has flashed a warning sign of a potential pullback for the Aussie. A Haramipattern suggests the bears may be looking to return to the pair. However, thus far there has been a lackluster response to the signal, which suggests a lack of conviction from traders. A correction lower is likely to find buying interest renewed at the 0.8830 floor.

AUD/USD: Harami Offers Warning Sign Near Range-Top

AUD/USD Awaiting Reversal Pattern Near Range-Top

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.

DISCLOSURES