AUD/USD pairs trading within range
The Australian Dollar continues to move sideways against the US Dollar for the third consecutive session. The currency pair has been trading within the range of 0.7534 and 0.7489 since May 17.
By the middle of Monday’s session, the exchange rate has moved closer to the upper boundary of a dominant descending pattern and this might result in a breakout from the channel down. Meanwhile, a support cluster formed by the weekly pivot point and the 100– and 200– hour SMAs at 0.7508 was providing support for the rate.
Regarding near future, the AUD/USD currency exchange rate is likely to continue moving within aforementioned trading range during the next session.
By the middle of Monday’s session, the exchange rate has moved closer to the upper boundary of a dominant descending pattern and this might result in a breakout from the channel down. Meanwhile, a support cluster formed by the weekly pivot point and the 100– and 200– hour SMAs at 0.7508 was providing support for the rate.
Regarding near future, the AUD/USD currency exchange rate is likely to continue moving within aforementioned trading range during the next session.
Comment:
In the aftermath of the previously described finding of support in the medium pattern’s lower trend line, the Australian Dollar has surged against the Greenback. However, on Thursday the surge had been stopped by a combination of the weekly R1 and the 55-hour SMA.
Moreover, the rate was being squeezed in between the mentioned resistance levels and the support of the 100-hour simple moving average from below.
This situation could only result in a breakout. Due to the fact that the pair has been surging in a medium pattern, a break out to the upside was expected. In addition, the rate faced resistance levels almost 10 base points apart. Meanwhile, additional support was clustered near 0.7530.
In the aftermath of the previously described finding of support in the medium pattern’s lower trend line, the Australian Dollar has surged against the Greenback. However, on Thursday the surge had been stopped by a combination of the weekly R1 and the 55-hour SMA.
Moreover, the rate was being squeezed in between the mentioned resistance levels and the support of the 100-hour simple moving average from below.
This situation could only result in a breakout. Due to the fact that the pair has been surging in a medium pattern, a break out to the upside was expected. In addition, the rate faced resistance levels almost 10 base points apart. Meanwhile, additional support was clustered near 0.7530.
Comment:
The previously described scenario on Thursday had became reality on the AUD/USD. Namely, the currency exchange rate had managed to pass the various resistance levels that surrounded the 0.7570 mark.
Although, by the middle of Friday’s trading session the rate had retraced back to the levels of significance at 0.7580. However, it looked like the reason for the decline was a reconfirmation of level of significance as support.
If the mentioned level manages to hold its ground, the rate would surge up to the 0.7630 mark, where close by the second weekly resistance level was located at.
Nevertheless, the rate might take its time before surging until the 55 and 100-hour SMAs will approach the pair from the downside.
The previously described scenario on Thursday had became reality on the AUD/USD. Namely, the currency exchange rate had managed to pass the various resistance levels that surrounded the 0.7570 mark.
Although, by the middle of Friday’s trading session the rate had retraced back to the levels of significance at 0.7580. However, it looked like the reason for the decline was a reconfirmation of level of significance as support.
If the mentioned level manages to hold its ground, the rate would surge up to the 0.7630 mark, where close by the second weekly resistance level was located at.
Nevertheless, the rate might take its time before surging until the 55 and 100-hour SMAs will approach the pair from the downside.
Comment:
The Australian Dollar spent the first half of Monday's session calmly, as the rate was pushed back by the monthly pivot point at 0.7579. Also, the exchange rate has been bouncing between the upper and lower boundaries of a medium-term triangle pattern.
By the middle of the day, a support cluster formed by the combination of the 55– and 100– hour simple moving averages was providing support for the AUD/USD currency pair.
Everything being equal, the currency exchange rate is likely to continue to accelerate within the next trading session. However, technical indicators suggest bearish momentum during this week.
By the middle of the day, a support cluster formed by the combination of the 55– and 100– hour simple moving averages was providing support for the AUD/USD currency pair.
Everything being equal, the currency exchange rate is likely to continue to accelerate within the next trading session. However, technical indicators suggest bearish momentum during this week.
It was discovered that there exists a medium scale channel up pattern, whose lower trend line managed to stop the decline of the pair. Moreover, its resistance line was the reason for the decline, which occurred during the last 24 hours.
In regards to the near term future, it was expected on Wednesday that the currency exchange rate will be propelled higher by the 100 and 200– hour SMAs until it reaches a resistance cluster near the 0.7570 mark.