AUD/USD:
Monthly timeframe:
(Technical change on this timeframe is often limited though serves as guidance to potential longer-term moves)
Overwhelmed by the effects of the coronavirus pandemic, the month of March scored seventeen-year lows at 0.5506 ahead of demand pencilled in from 0.5219/0.5426, before staging an impressive recovery. The recovery move reclaimed more than 60% of the month’s losses, drawing the pair to within reasonably close proximity of supply fixed at 0.7029/0.6664, intersecting with a long-term trendline resistance (1.0582).
April currently trades more than 3% in the green. With reference to the market’s primary trend, though, a downtrend has been present since mid-2011.
Daily timeframe:
In parallel with the RSI indicator toppling its 50.00 value, AUD/USD registered its fourth successive daily gain Thursday. Notably, price action tapped the upper boundary of a demand-turned supply at 0.6330/0.6245, shifting focus to a 127.2% Fib ext. level at 0.6398. this is closely followed by a 61.8% Fib retracement at 0.6449 and trendline resistance (0.7031).
H4 timeframe:
The H4 timeframe is a somewhat busy chart at the moment, emphasising strong resistance between 0.6433/0.6338.
Converging with this area we have a harmonic Gartley formation, with a defining limit at the 78.6% Fib retracement level from 0.6433. In addition, a local ABCD approach can be seen (orange) terminating at around a 161.8% Fib ext. level drawn from 0.6338. Also of note is a 161.8% Fib ext. level coming in at 0.6420.
H1 timeframe:
Lifted by a decline in the USD, Thursday concluded testing a channel resistance (0.6207), which intersects with a supply zone at 0.6362/0.6329 and is confirmed by the RSI indicator crossing paths with overbought terrain. Downside from this angle has 0.63 to contend with, as well as demand formed from 0.6216/0.6246 should we pop lower.
Structures of Interest:
Although daily price is seen feasting on the upper boundary of a demand-turned supply at 0.6330/0.6245, threatening higher moves, H4 and H1 action bring reasonably stacked resistance to the table. Therefore, a dip lower could still be in store, with sellers eyeing H1 demand at 0.6216/0.6246.
Monthly timeframe:
(Technical change on this timeframe is often limited though serves as guidance to potential longer-term moves)
Overwhelmed by the effects of the coronavirus pandemic, the month of March scored seventeen-year lows at 0.5506 ahead of demand pencilled in from 0.5219/0.5426, before staging an impressive recovery. The recovery move reclaimed more than 60% of the month’s losses, drawing the pair to within reasonably close proximity of supply fixed at 0.7029/0.6664, intersecting with a long-term trendline resistance (1.0582).
April currently trades more than 3% in the green. With reference to the market’s primary trend, though, a downtrend has been present since mid-2011.
Daily timeframe:
In parallel with the RSI indicator toppling its 50.00 value, AUD/USD registered its fourth successive daily gain Thursday. Notably, price action tapped the upper boundary of a demand-turned supply at 0.6330/0.6245, shifting focus to a 127.2% Fib ext. level at 0.6398. this is closely followed by a 61.8% Fib retracement at 0.6449 and trendline resistance (0.7031).
H4 timeframe:
The H4 timeframe is a somewhat busy chart at the moment, emphasising strong resistance between 0.6433/0.6338.
Converging with this area we have a harmonic Gartley formation, with a defining limit at the 78.6% Fib retracement level from 0.6433. In addition, a local ABCD approach can be seen (orange) terminating at around a 161.8% Fib ext. level drawn from 0.6338. Also of note is a 161.8% Fib ext. level coming in at 0.6420.
H1 timeframe:
Lifted by a decline in the USD, Thursday concluded testing a channel resistance (0.6207), which intersects with a supply zone at 0.6362/0.6329 and is confirmed by the RSI indicator crossing paths with overbought terrain. Downside from this angle has 0.63 to contend with, as well as demand formed from 0.6216/0.6246 should we pop lower.
Structures of Interest:
Although daily price is seen feasting on the upper boundary of a demand-turned supply at 0.6330/0.6245, threatening higher moves, H4 and H1 action bring reasonably stacked resistance to the table. Therefore, a dip lower could still be in store, with sellers eyeing H1 demand at 0.6216/0.6246.