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.

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
Oil - US Crude
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
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
More View more
AUDUSD Chart Analysis: Upswing Expected to Keep Downtrend Intact

AUDUSD Chart Analysis: Upswing Expected to Keep Downtrend Intact

Ilya Spivak, Head Strategist, APAC

AUDUSD CHART ANALYSIS: BEARISH

  • AUD breaks near-term resistance, hinting at upswing ahead
  • Overall chart positioning still argues for a bearish trend bias
  • Triangle pattern implies downside objective near 0.67 figure

Get help building confidence in your AUDUSD strategy with our free trading guide!

The Australian Dollar rose after putting in a bullish Morning Star candlestick pattern, breaking above trend line resistance guiding the move lower since mid-April. That seems to suggest an upswing is ahead, though overall positioning continues to imply a broader bearish bias.

AUDUSD chart - daily

Prices face initial resistance in the 0.6978-0.7021 area, which marks the former bottom of a bearish Descending Triangle pattern. Overcoming this barrier on a daily closing basis is needed to suggest any near-term rise is more than corrective. Clearing the subsequent falling trend resistance set from early December 2018 – now in the 0.7039-0.7112 zone – would warn of meaningful trend change.

Zooming out to the weekly chart, resumption of the 2018 downtrend following a consolidative period through most of the first half of this year appears to be the path of least resistance. A conservative accounting of the measured-move objective for the on-coming decline implied by the completed Descending Triangle formation puts the 0.67 figure in the spotlight.

AUDUSD chart - weekly

AUDUSD 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