AUD/USD: the instrument is moving flat
Current trend
Yesterday, AUD fell against USD, returning the flat trade dynamic in the ultra-short term. AUD is under pressure of Tuesday’ RBA Meeting's Minutes release.
Namely, they stated that low interest rates continue to support the Australian economy. Inflation in the country remains low, which negatively affects the growth of wages. There are no substantive arguments in favor of an early correction of monetary policy, but it is more likely that over time the interest rate will be increased.
On Thursday, investors are waiting for the publication of the June report on the Australian labor market. Employment Change is expected to increase slightly from 12K to 17K, while other key indicators are likely to remain the same.
Support and resistance
On the daily chart, Bollinger bands move horizontally. The price range consolidated within narrow limits, corresponding to the recent trading activity. MACD turns downwards, forming a sell signal (the histogram is below the signal line). Stochastic is falling near its lows.
At the moment, the indicators do not contradict the further development of the "bearish" trend in the short and super short term.
Resistance levels: 0.7409, 0.7442, 0.7474, 0.7500.
Support levels: 0.7366, 0.7344, 0.7322, 0.7309.
Trading tips
Long positions can be opened after a rebound from the level of 0.7366 and breakout of the level of 0.7400 with the target at 0.7474 or 0.7500. Stop loss is 0.7366–0.7350.
Short positions can be opened after the breakdown of the level of 0.7366 with the target at 0.7322 or 0.7309. Stop loss is 0.7400.
Implementation period: 2–3 days.
Trade
Scenario
Timeframe Intraday
Recommendation BUY STOP
Entry Point 0.7410
Take Profit 0.7474, 0.7500
Stop Loss 0.7366, 0.7350
Key Levels 0.7309, 0.7322, 0.7344, 0.7366, 0.7409, 0.7442, 0.7474, 0.7500
Alternative scenario
Recommendation SELL
Entry Point 0.7350
Take Profit 0.7322, 0.7309
Stop Loss 0.7400
Key Levels 0.7309, 0.7322, 0.7344, 0.7366, 0.7409, 0.7442, 0.7474, 0.7500
Yesterday, AUD fell against USD, returning the flat trade dynamic in the ultra-short term. AUD is under pressure of Tuesday’ RBA Meeting's Minutes release.
Namely, they stated that low interest rates continue to support the Australian economy. Inflation in the country remains low, which negatively affects the growth of wages. There are no substantive arguments in favor of an early correction of monetary policy, but it is more likely that over time the interest rate will be increased.
On Thursday, investors are waiting for the publication of the June report on the Australian labor market. Employment Change is expected to increase slightly from 12K to 17K, while other key indicators are likely to remain the same.
Support and resistance
On the daily chart, Bollinger bands move horizontally. The price range consolidated within narrow limits, corresponding to the recent trading activity. MACD turns downwards, forming a sell signal (the histogram is below the signal line). Stochastic is falling near its lows.
At the moment, the indicators do not contradict the further development of the "bearish" trend in the short and super short term.
Resistance levels: 0.7409, 0.7442, 0.7474, 0.7500.
Support levels: 0.7366, 0.7344, 0.7322, 0.7309.
Trading tips
Long positions can be opened after a rebound from the level of 0.7366 and breakout of the level of 0.7400 with the target at 0.7474 or 0.7500. Stop loss is 0.7366–0.7350.
Short positions can be opened after the breakdown of the level of 0.7366 with the target at 0.7322 or 0.7309. Stop loss is 0.7400.
Implementation period: 2–3 days.
Trade
Scenario
Timeframe Intraday
Recommendation BUY STOP
Entry Point 0.7410
Take Profit 0.7474, 0.7500
Stop Loss 0.7366, 0.7350
Key Levels 0.7309, 0.7322, 0.7344, 0.7366, 0.7409, 0.7442, 0.7474, 0.7500
Alternative scenario
Recommendation SELL
Entry Point 0.7350
Take Profit 0.7322, 0.7309
Stop Loss 0.7400
Key Levels 0.7309, 0.7322, 0.7344, 0.7366, 0.7409, 0.7442, 0.7474, 0.7500