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
More View more
AUS200 Technical Analysis: Facing Tough Resistance

AUS200 Technical Analysis: Facing Tough Resistance

Nathalie Huynh,

Talking Points:

  • AUS 200 Strategy: Prepare to exit if resistance at 5074 holds through next week
  • Momentum is poised to reverse down
  • Whereas a breach would bring it back into last year’s range

The 5074 resistance level will be a tough one to break for AUS 200 on its way back up to the August-January range of 4198-5391. A pause in upward momentum signals also hints at restrained advancement ahead.

Traders with long positions should be prepared for a possible reversal at this resistance, especially if momentum continues to fade below the upper boundary. A close approach to resistance (and failure to breach) before this weekend could provide some good opportunities to range traders who are in waiting.

5074 is a critical level for next week’s development. At a breach, the way above head is fairly clear unto top of the range and 50% Fibonacci at 5391.5.

Need a hand to start trading:Free Guides

Want to read market’s momentum: Speculative Sentiment Index

AUS200 Technical Analysis: Facing Tough Resistance

Daily Chart - Created Using FXCM Marketscope

Losing Money Trading Forex? This Might Be Why.

--- Written by Nathalie Huynh, Strategist for DailyFX.com

Contact and follow Nathalie on Twitter: @nathuynh

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

DISCLOSURES