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 Technical Analysis: Short Trade Triggered Above 0.75

AUD/USD Technical Analysis: Short Trade Triggered Above 0.75

Ilya Spivak, Head Strategist, APAC

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • AUD/USD Technical Strategy: Short at 0.7526
  • Aussie Dollar drops below monthly support vs. US namesake
  • Short position triggered,initially targeting below 0.74 figure

The Australian Dollar moved lower against its US namesake as expected, taking out support guiding prices higher over the past month. From here, sellers look poised to challenge the uptrend floor established from major swing lows at the start of the year.

A break below 0.7381, the intersection of trend line support and the 38.2% Fibonacci retracement, opens the door for at test of the 50% level at 0.7275. Alternatively, a daily close back above support-turned-resistance at 0.7538 paves the way to challenge the 0.76 figure, followed by the March 31 high at 0.7723.

Technical positioning hints the long-term AUD/USD down trend may be resuming, in line with our 2016 fundamental outlook.Risk/reward considerations also appear acceptable and we have entered short at 0.7526, initially targeting 0.7381. A stop-loss will be activated on a daily close above the 0.76 figure. We will take profit on half of the position and move the stop to breakeven once the first objective is reached.

Losing money trading AUD/USD? This might be why.

AUD/USD Technical Analysis: Short Trade Triggered Above 0.75

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

DISCLOSURES