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
EUR/USD
Mixed
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
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
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • Risk management is one of the most important aspects of successful trading, but is often overlooked. What are some basic principles or risk management? Find out from @PaulRobinsonFX here: https://t.co/IsnpfJhp91 https://t.co/VDnn2bxfjD
  • IG Client Sentiment Update: Our data shows the vast majority of traders in USD/CHF are long at 75.66%, while traders in France 40 are at opposite extremes with 80.85%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/6HUk3bQSWf
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.51% Silver: 0.41% Gold: 0.07% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/azFkkb8xyo
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/d4NaJvgweB
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.33% 🇬🇧GBP: 0.22% 🇦🇺AUD: 0.15% 🇨🇦CAD: 0.08% 🇨🇭CHF: -0.02% 🇪🇺EUR: -0.03% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/jceRBGUO6d
  • 🇨🇳 Unemployment Rate (MAY) Actual: 5.2% Previous: 5.1% https://www.dailyfx.com/economic-calendar#2021-06-16
  • 🇨🇳 Fixed Asset Investment (YTD) YoY (MAY) Actual: 15.4% Expected: 16.9% Previous: 19.9% https://www.dailyfx.com/economic-calendar#2021-06-16
  • 🇨🇳 Industrial Production YoY (MAY) Actual: 8.8% Expected: 9% Previous: 9.8% https://www.dailyfx.com/economic-calendar#2021-06-16
  • 🇨🇳 Retail Sales YoY (MAY) Actual: 12.4% Expected: 13.6% Previous: 17.7% https://www.dailyfx.com/economic-calendar#2021-06-16
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: France 40: 0.20% FTSE 100: 0.13% Germany 30: 0.10% US 500: -0.01% Wall Street: -0.09% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/2wsbvN5ZzC
AUD/USD Chart Analysis: Bounce Hinted Before RBA Rate Decision

AUD/USD Chart Analysis: Bounce Hinted Before RBA Rate Decision

Ilya Spivak, Head Strategist, APAC

AUD/USD Technical Strategy: BEARISH

  • AUD sellers struggle to sustain momentum after touching 4-month lows
  • Positive RSI divergence hints at possible bounce as RBA meeting looms
  • Overall positioning continues to carry a bearish bias while sub-0.7147

Get help building confidence in your AUD/USD strategy with our free trading guide!

The Australian Dollar turned lower anew after a brief corrective upswing against its US counterpart, as expected. Sellers have struggled to gain ground beyond reversing the relief rally from April lows however. A drop to four-month lows failed to find lasting follow-through, putting prices back within a familiar range just below the 0.70 figure. The proximity of the RBA rate decision may have sapped conviction.

Furthermore, positive RSI divergence hints that ebbing downside momentum may precede a reversal higher. Confirming as much would need a conclusive break above trend line resistance guiding the move lower from the mid-April swing top, now at 0.7009. Pushing beyond that would neutralize immediate selling pressure and put the 0.7049-73 chart inflection area back in focus.

Australian Dollar vs US Dollar chart - 4 hour

Zooming out to the daily chart, overall positioning still seems to carry bearish implications. AUD/USD price action since the beginning of the year seems to be carving out a descending Triangle pattern, a typically bearish setup whose confirmation would set the stage for resuming the 2018 downtrend. Completing it would require a daily close below support’s outer layer at 0.6982. That would expose the 0.69 figure next.

AUD/USD Chart Analysis: Bounce Hinted Before RBA Rate Decision

Invalidating these broader cues would is likely to call for a close above Triangle top resistance, now at 0.7147. Doing so would put AUD/USD back within the congestive range prevailing since late last year. To then establish a convincing bullish bias, prices would need to work their way through several interim resistance barriers and secure a close above the range top at 0.7393.

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