AUD/USD Technical Analysis: Aussie Rallies Most in 2 Weeks
Markets

AUD/USD Technical Analysis: Aussie Rallies Most in 2 Weeks

DailyFX.com -

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • AUD/USD Technical Strategy: Flat
  • Australian Dollar rallies most in two weeks after Yellen commentary
  • Waiting for opportunity to enter short in line with long-term down trend

The Australian Dollar pushed upward against its US namesake after finding support below the 0.75 figure, putting in the largest daily advance in two weeks. The move played out after comments from Fed Chair Janet Yellen diminished traders' rate hike expectations .

From here, a daily close above the 23.6% Fibonacci expansion at 0.7679 opens the door for a test of the 38.2% level at 0.7803. Alternatively, a reversal below the 23.6% Fib retracement at 0.7479 paves the way for a challenge of the 38.2% threshold at 0.7354.

The overall AUD/USD trend remains bearish, which our 2016 fundamental forecast envisions will resume . With that in mind, we see recent gains as corrective and ultimately an opportunity to enter short at more attractive levels. An actionable trade setup is absent for now however and we will stand aside.

Are you making this mistake trading AUD/USD ? Find out here !

AUD/USD Technical Analysis: Aussie Rallies Most in 2 Weeks

original source

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

Learn forex trading with a free practice account and trading charts from FXCM .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

ForEx

Latest Markets Videos