AUD/USD Technical Analysis: Rally Runs Into Resistance
To receive Ilya's analysis directly via email, please SIGN UP HERE
- AUD/USD Technical Strategy: Flat
- Support:0.8772, 0.8659, 0.8568
- Resistance:0.8845, 0.8971, 0.9073
The Australian Dollar ran into resistance after rising as expected against its US counterpart following the appearance of a Piercing Line candlestick pattern. A daily close below the 14.6% Fibonacci expansion at 0.8772 exposes the 0.8659-94 area marked by the January 2014 low and the 23.6% level. Alternatively, a turn above the 23.6% Fib retracement at 0.8845 opens the door for a challenge of the 38.2% threshold at 0.8971.
We booked profits on a short AUDUSD position earlier in the week and will look to re-enter the trade in line with the longer-term down trend. An actionable signal suggesting the correction has run its course is absent for now however and we will remain on the sidelines in the interim.
Add these technical levels directly to your charts with our Support/Resistance Wizard app!
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.