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.

Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Mixed
More View more
Real Time News
  • The US Dollar appears to be back on the offensive against ASEAN FX such as the Singapore Dollar and Malaysian Ringgit. The Philippine Peso gained. What does USD face from here? Find out from @ddubrovskyFX here: https://t.co/U8VGdJPIST https://t.co/67Qq4n8Tet
  • LIVE NOW: In this session, Currency Analyst @ddubrovskyFX discusses traders' positioning as a key element of market analysis to determine the prevailing and future price trends. https://www.dailyfx.com/webinars/998956395
  • Heads Up! Will be starting soon. I will be resuming last week's discussion on equities to see what positioning can say about the prevailing trends, signup below https://t.co/5WGeehCLdh
  • 🇯🇵 JPY Trade Balance - BOP Basis (Yen) (FEB), Actual: ¥1366.6b Expected: ¥1215.0b Previous: -¥985.1b https://www.dailyfx.com/economic-calendar#2020-04-07
  • 🇯🇵 JPY Machine Orders (YoY) (FEB), Actual: -2.4% Expected: -3.0% Previous: -0.3% https://www.dailyfx.com/economic-calendar#2020-04-07
  • 🇯🇵 JPY Machine Orders (YoY) (FEB), Actual: 5% Expected: -3.0% Previous: -0.3% https://www.dailyfx.com/economic-calendar#2020-04-07
  • Australia outlook cut from stable to negative by S&P - BBG #AUD
  • #RBNZ Assistant Governor Christian Hawkesby: - The central bank is "very open" to changing the size of its QE program - There is a limit to how much of the bond market the RBNZ can purchase - Monetary authorities open to increasing QE in a "rapidly evolving situation" - BBG #NZD
  • Heads Up:🇯🇵 JPY Machine Orders (YoY) (FEB) due at 23:50 GMT (15min), Actual: N/A Expected: -3.0% Previous: -0.3% https://www.dailyfx.com/economic-calendar#2020-04-07
  • Heads Up:🇯🇵 JPY Trade Balance - BOP Basis (Yen) (FEB) due at 23:50 GMT (15min), Actual: N/A Expected: ¥1213.6b Previous: -¥985.1b https://www.dailyfx.com/economic-calendar#2020-04-07
AUD/USD Technical Analysis: 17-Year Aussie Uptrend Support Broken

AUD/USD Technical Analysis: 17-Year Aussie Uptrend Support Broken

2018-09-04 00:30:00
Ilya Spivak, Head Strategist, APAC
Share:

AUD/USD Technical Strategy: NET SHORT AT 0.7492

  • Australian Dollar testing double bottom support from May 2016
  • Monthly chart reveals 17-year rising trend support now broken
  • Added short AUD/USD exposure expecting deeper down move

See our free guide to get help building confidence in your AUD/USD trading strategy!

The Australian Dollar has dropped to challenge double bottom support capping losses for over two years having resumed the downtrend against its US namesake (as expected). This barrier is in the 0.7145-65 area, with a break lower confirmed on a daily closing basis exposing the 38.2% Fibonacci expansion at 0.7025. Alternatively, a rebound above support-turned-resistance at 0.7238 opens the door for another challenge of trend-defining resistance, now in the 0.7288-0.7384 zone.

AUD/USD Technical Analysis: 17-Year Aussie Uptrend Support Broken

Turning to longer-term positioning, the monthly chart reveals that August marked the break of rising trend support guiding a structural Aussie advance for nearly two decades. That portends an on-coming decline to test below the 0.70 figure as just the first leg in what may prove to be far deeper downturn. With that in mind, additional short AUD/USD exposure was added at 0.7325 to the trade initiated at 0.7608 and then scaled up near 0.7530. The net cost basis for the overall position is now 0.7492.

AUD/USD Technical Analysis: 17-Year Aussie Uptrend Support Broken

AUD/USD TRADING RESOURCES

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

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

DISCLOSURES

News & Analysis at your fingertips.