Current trend
On Thursday, USD strengthened against AUD. Investors are focused on the introduction of additional US-Chinese reciprocal duties by USD 16 billion each. The United States raised tariffs, in particular, on motorcycles produced, railway cars, and steam turbines in China. The PRC responded with duties on American cars, buses, coal, and other goods. The new restrictions came into force amid the negotiations between the countries going in Washington.
AUD is under pressure due to political uncertainty in Australia, where Prime Minister Turnbull has lost the support of his own party.
Today, investors are waiting for Fed's head Jerome Powell speech at the symposium in Jackson Hole. He will make a report on monetary policy in a changing economy. The market also awaits the regulator's comments on the latest critical statements of President Trump.
Support and resistance
On the 4-hour chart, there is a correction of the downward movement, the instrument is traded between the bottom border and the middle line of Bollinger bands. MACD histogram is in the negative area, the signal line is prepared to cross the zero line downwards, after which a signal to open short positions will be received.
Resistance levels: 0.7290, 0.7319, 0.7340, 0.7381, 0.7452.
Support levels: 0.7250, 0.7235, 0.7200.
Trading tips
Short positions can be opened from the current level with the target at 0.7200 and stop loss 0.7319.
Long positions can be opened from the level of 0.7340 with the target at 0.7400 and stop loss 0.7310.
Implementation period: 1–3 days.
Trade
Scenario
Timeframe Intraday
Recommendation SELL
Entry Point 0.7270
Take Profit 0.7200
Stop Loss 0.7319
Key Levels 0.7200, 0.7235, 0.7250, 0.7290, 0.7319, 0.7340, 0.7381, 0.7452
Alternative scenario
Recommendation BUY STOP
Entry Point 0.7340
Take Profit 0.7400
Stop Loss 0.7310
Key Levels 0.7200, 0.7235, 0.7250, 0.7290, 0.7319, 0.7340, 0.7381, 0.7452
On Thursday, USD strengthened against AUD. Investors are focused on the introduction of additional US-Chinese reciprocal duties by USD 16 billion each. The United States raised tariffs, in particular, on motorcycles produced, railway cars, and steam turbines in China. The PRC responded with duties on American cars, buses, coal, and other goods. The new restrictions came into force amid the negotiations between the countries going in Washington.
AUD is under pressure due to political uncertainty in Australia, where Prime Minister Turnbull has lost the support of his own party.
Today, investors are waiting for Fed's head Jerome Powell speech at the symposium in Jackson Hole. He will make a report on monetary policy in a changing economy. The market also awaits the regulator's comments on the latest critical statements of President Trump.
Support and resistance
On the 4-hour chart, there is a correction of the downward movement, the instrument is traded between the bottom border and the middle line of Bollinger bands. MACD histogram is in the negative area, the signal line is prepared to cross the zero line downwards, after which a signal to open short positions will be received.
Resistance levels: 0.7290, 0.7319, 0.7340, 0.7381, 0.7452.
Support levels: 0.7250, 0.7235, 0.7200.
Trading tips
Short positions can be opened from the current level with the target at 0.7200 and stop loss 0.7319.
Long positions can be opened from the level of 0.7340 with the target at 0.7400 and stop loss 0.7310.
Implementation period: 1–3 days.
Trade
Scenario
Timeframe Intraday
Recommendation SELL
Entry Point 0.7270
Take Profit 0.7200
Stop Loss 0.7319
Key Levels 0.7200, 0.7235, 0.7250, 0.7290, 0.7319, 0.7340, 0.7381, 0.7452
Alternative scenario
Recommendation BUY STOP
Entry Point 0.7340
Take Profit 0.7400
Stop Loss 0.7310
Key Levels 0.7200, 0.7235, 0.7250, 0.7290, 0.7319, 0.7340, 0.7381, 0.7452