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
Bullish
GBP/USD
Bullish
USD/JPY
Bullish
Gold
Mixed
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
Bitcoin
Bullish
More View more
Real Time News
  • RT @IGSquawk: We're currently pricing #GBPUSD at 1.2852 and #FTSE at 7129.2 That's a drop of 1.18% from Fridays close for GBPUSD and 0.22%…
  • #DidYouKnow a #Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out: https://t.co/c51s3IBcEu https://t.co/K6W9X4v8XD
  • The $NZD may be carving out a near-term bottom against its US counterpart but scope for gains seems limited within a broader downtrend. Get your technical analysis from @IlyaSpivak here: https://t.co/7bsVuSyWMn https://t.co/DsmNYKk8v3
  • Can you trade with the joy of missing out (#JOMO)? Find out how you can turn your #FOMOintrading to JOMO here: https://t.co/G5H26NXZQe https://t.co/pVdKUPzvmk
  • RT @PaulBrandITV: It’s likely that this will end up in court on Monday. The case in the Scottish courts may well consider that this doesn’t…
  • RT @PaulBrandITV: BREAKING: Tonight the PM has sent this letter to EU requesting an extension to Brexit. Wording is copied and pasted from…
  • RT @FactSet: $SPX is reporting a (Y/Y) decline in earnings of -4.7% for Q3 2019, which would mark the 3rd straight quarter of (Y/Y) earning…
  • RT @MehreenKhn: 🔔🔔 Here is the letter Boris Johnson has sent to Brussels tonight saying an extension would "damage" interests of the EU and…
  • What is #forex time frames and how can it be applied to multi-time frame analysis. Find out here: https://t.co/uEmAGW4ckP https://t.co/f4RrjSQK8y
  • Thread on #Brexit latest ⬇️ https://t.co/Sbgh6614Mc
AUDUSD Technical Analysis: Aussie Flirting with Bearish Reversal

AUDUSD Technical Analysis: Aussie Flirting with Bearish Reversal

2019-07-25 03:30:00
Ilya Spivak, Sr. Currency Strategist
Share:

AUDUSD TECHNICAL OUTLOOK: BEARISH

  • AUDUSD testing trend support after rejection at technical resistance
  • Downside follow-through probably demands break of June 2016 low
  • Break of falling trend line just below 0.71 may invalidate bearish bias

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

The Australian Dollar retreated from downtrend resistance capping gains since early December 2018 as expected, albeit after managing a slightly larger recovery than anticipated. Prices are now testing pivotal support guiding the upswing from mid-June.

Breaking below this barrier on a daily closing basis initially faces a minor barrier at 0.6911, the July 10 low. Making the case for lasting bearish trend development probably requires a further breach of the support shelf running down through the January 2016 low at 0.6827.

Immediate trend line resistance now stands at 0.7069, with added reinforcement at the 0.7082 (the July 19 high). A rebound that brings about a daily close above the latter sets the stage for a foray north of the 0.72 figure to challenge 0.7206-35 congestion zone.

On balance, the dominant trend bias continues to favor the downside. However, proximity to trend support might discourage traders from committing to sizable short-side exposure on risk/reward grounds. A clear-cut breakdown or confirmed invalidation of bearish positioning is probably needed for lasting follow-through.

Australian Dollar vs US Dollar price chart - daily

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

News & Analysis at your fingertips.