Skip to Content
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.

Free Trading Guides
Please try again

Live Webinar Events


Economic Calendar Events


Notify me about

Live Webinar Events
Economic Calendar Events






More View More
AUD/USD Technical Analysis: Aussie Dollar Menacing 2017 Peaks

AUD/USD Technical Analysis: Aussie Dollar Menacing 2017 Peaks

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

Talking Points:

  • AUD/USD Technical Strategy: Flat
  • Aussie Dollar menacing 2017 peaks after hitting 4-month high vs US counterpart
  • Actionable trade signal and improved risk/reward parameters needed to enter trade

The Australian Dollar has advanced to the highest level in four months against its US counterpart, with buyers seemingly poised to force a test of last year’s peak. The advance paused below the 0.79 figure – inspiring the unwinding of a long position from 0.7666 – but upside momentum proved quick to resume.

Confirmation of a break above the 76.4% Fibonacci retracement at 0.7978 on a daily closing basis opens the door for a challenge of the July 27 high at 0.8066. Alternatively, a reversal back below the 61.8% level at 0.7887 – now recast as support – paves the way for a retest of the 50% Fib at 0.7813.

An upside break of near-term resistance is yet to be confirmed. Without that, prices are too close to the barrier to justify re-entering long from a risk/reward perspective. On the other hand, the absence of a clear-cut bearish reversal signal argues against taking up the short side. Standing aside seems most prudent for now.

What is the #1 mistake that traders make, and how can you fix it? Find out here !

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