AUD/USD:
Monthly timeframe:
(Technical change on this timeframe is often limited though serves as guidance to potential longer-term moves)
May’s extension, together with June’s follow-through, has supply at 0.7029/0.6664 echoing a vulnerable tone in early July, particularly as an intersecting long-term trendline resistance (1.0582) shows signs of giving way.
Regarding the market’s primary trend, a series of lower lows and lower highs have been present since mid-2011.
Daily timeframe:
Partially altered from previous analysis -
AUD/USD ousted resistance at 0.6931 Monday, with the latter now featured as support.
The break to the upside shines focus on two trendline resistances close by (prior supports – 0.6744/0.6671); a violation here unmasks another resistance at 0.7197.
H4 timeframe:
Brought forward from previous analysis -
Since June 10, H4 has been in the process of establishing a (bullish) pennant pattern between 0.7064/0.6776, generally considered a continuation pattern among chart pattern traders.
As you can see, though, last week had price penetrate the upper boundary of the aforesaid pennant, unearthing a buy signal.
In light of daily price establishing position above 0.6931, H4 supply at 0.7058/0.7029 remains featured as the next obstacle on the H4 timeframe.
H1 timeframe:
The Australian dollar pared a portion of Wednesday’s gains on Thursday, nosediving from supply at 0.7003/0.6987, specifically the 0.70 level, amid risk aversion.
Consequently, demand at 0.6939/0.6952 (and 0.6950 support) made an entrance into US trade, after toppling the 100-period simple moving average.
Outside of the aforesaid demand, 0.6927, 0.6922 and 0.6901 denote potential swing low support points, though a break of current demand will likely see price bound for the 0.69 level, or H4 support at 0.6886.
Structures of Interest:
Partially altered from previous analysis -
Monthly price appears to be squeezing sellers out of the market as daily price holds 0.6931 as support. This, coupled with room to advance on the H4 to supply at 0.7058/0.7029, may see H1 demand at 0.6939/0.6952 (and 0.6950 support) hold and summon buyers into the market.
Monthly timeframe:
(Technical change on this timeframe is often limited though serves as guidance to potential longer-term moves)
May’s extension, together with June’s follow-through, has supply at 0.7029/0.6664 echoing a vulnerable tone in early July, particularly as an intersecting long-term trendline resistance (1.0582) shows signs of giving way.
Regarding the market’s primary trend, a series of lower lows and lower highs have been present since mid-2011.
Daily timeframe:
Partially altered from previous analysis -
AUD/USD ousted resistance at 0.6931 Monday, with the latter now featured as support.
The break to the upside shines focus on two trendline resistances close by (prior supports – 0.6744/0.6671); a violation here unmasks another resistance at 0.7197.
H4 timeframe:
Brought forward from previous analysis -
Since June 10, H4 has been in the process of establishing a (bullish) pennant pattern between 0.7064/0.6776, generally considered a continuation pattern among chart pattern traders.
As you can see, though, last week had price penetrate the upper boundary of the aforesaid pennant, unearthing a buy signal.
In light of daily price establishing position above 0.6931, H4 supply at 0.7058/0.7029 remains featured as the next obstacle on the H4 timeframe.
H1 timeframe:
The Australian dollar pared a portion of Wednesday’s gains on Thursday, nosediving from supply at 0.7003/0.6987, specifically the 0.70 level, amid risk aversion.
Consequently, demand at 0.6939/0.6952 (and 0.6950 support) made an entrance into US trade, after toppling the 100-period simple moving average.
Outside of the aforesaid demand, 0.6927, 0.6922 and 0.6901 denote potential swing low support points, though a break of current demand will likely see price bound for the 0.69 level, or H4 support at 0.6886.
Structures of Interest:
Partially altered from previous analysis -
Monthly price appears to be squeezing sellers out of the market as daily price holds 0.6931 as support. This, coupled with room to advance on the H4 to supply at 0.7058/0.7029, may see H1 demand at 0.6939/0.6952 (and 0.6950 support) hold and summon buyers into the market.