A full reviewed was made for the AUD/USD currency pair after the previously drawn patterns were broken. The analyst conducted this analysis using the larger time frame to describe the situation in the market.
The Australian Dollar has been losing strength significantly against the US Dollar since the beginning of February. The decline started when the exchange rate made a U-turn from a one-year high level near the 0.81 make on February 2.
Given that the bullish sentiment has started gaining momentum, it is likely that the newly drawn junior ascending channel on the 1H time-frame is likely to hold during the following trading session.
The Australian Dollar has been losing strength significantly against the US Dollar since the beginning of February. The decline started when the exchange rate made a U-turn from a one-year high level near the 0.81 make on February 2.
Given that the bullish sentiment has started gaining momentum, it is likely that the newly drawn junior ascending channel on the 1H time-frame is likely to hold during the following trading session.
Comment:
AUD/USD has been moving in a one-week ascending channel pattern. The rate reversed from the lower boundary mid-session on Wednesday and began to appreciate in a bullish momentum. However, this surge was stopped by the weekly resistance level at 0.7443.
By the middle of Thursday’s trading session, the currency pair has breached the 55-hour simple moving average and gradually moving towards a support cluster formed by the 100-hour SMA and the monthly pivot point at 0.7404.
In case bears continue to prevail in the market today, the price could test and break the junior ascending channel within this session.
By the middle of Thursday’s trading session, the currency pair has breached the 55-hour simple moving average and gradually moving towards a support cluster formed by the 100-hour SMA and the monthly pivot point at 0.7404.
In case bears continue to prevail in the market today, the price could test and break the junior ascending channel within this session.
Comment:
The Australian Dollar has shown high volatility against US Dollar on Thursday, during this period, the currency pair fell below the junior channel and the dominant ascending channel.
This high volatility continued on Friday, as bears erased all the gains made by bulls during the period week. Technical indicators demonstrate that the overall market sentiment within the next trading session should remain bearish.
Given that the AUD/USD currency exchange rate is located in the oversold zone, the pair might make a brief retracement up for a potential target at the weekly pivot point near 0.7350 today.
This high volatility continued on Friday, as bears erased all the gains made by bulls during the period week. Technical indicators demonstrate that the overall market sentiment within the next trading session should remain bearish.
Given that the AUD/USD currency exchange rate is located in the oversold zone, the pair might make a brief retracement up for a potential target at the weekly pivot point near 0.7350 today.
Comment:
Downside risks dominated the AUD/USD exchange rate on Friday, as it fell 1.24% by the end of the session. The 55-hour simple moving average guided the currency pair lower during the previous trading day.
Technical indicators flash bearish signals, suggesting that this decline could continue today. However, it is unlikely that significant bearish pressure is put on the pair, especially if no critical macroeconomic data releases are scheduled today.
Meanwhile, the economic calendar shows no influential fundamental releases that could change the overall position of the currency exchange rate during the following trading session.
Technical indicators flash bearish signals, suggesting that this decline could continue today. However, it is unlikely that significant bearish pressure is put on the pair, especially if no critical macroeconomic data releases are scheduled today.
Meanwhile, the economic calendar shows no influential fundamental releases that could change the overall position of the currency exchange rate during the following trading session.
Comment:
The Australian Dollar traded with low volatility against the US Dollar on Monday, as the currency pair was moving within the range of 0.7309/0.7255 along a junior descending channel pattern.
No changes occurred in the overall positioning of the AUD/USD exchange rate during the first part of Tuesday's session. Lack of outside pressure allowed the price to remained stable.
Given that the currency exchange rate has moved near the 0.7257 mark, a breakout from Monday’s trading range is likely to occur during the following trading session. Meanwhile, technical sentiment supports a bearish movement.
No changes occurred in the overall positioning of the AUD/USD exchange rate during the first part of Tuesday's session. Lack of outside pressure allowed the price to remained stable.
Given that the currency exchange rate has moved near the 0.7257 mark, a breakout from Monday’s trading range is likely to occur during the following trading session. Meanwhile, technical sentiment supports a bearish movement.
Comment:
No significant changes were introduced to the AUD/USD exchange rate positioning on Tuesday, as the pair remained trading inside the one-week junior descending channel. The situation, however, remained the same on Wednesday, as the price continued to bounce between the upper and lower borders of Monday’s trading range of 0.7309/0.7257.
Given that the AUD/USD currency exchange rate has moved near the 0.7257 mark, a breakout from the trading range is likely to occur during the following trading session. Also, technical indicators support bearish momentum is expected to continue today.
Given that the AUD/USD currency exchange rate has moved near the 0.7257 mark, a breakout from the trading range is likely to occur during the following trading session. Also, technical indicators support bearish momentum is expected to continue today.
Comment:
The Australian Dollar traded with high volatility against the US Dollar on Thursday. The pair began to strengthen after its reversed from the lower boundary of an ascending channel.
By the middle of the European trading session on Friday, the exchange rate had moved closer to the upper boundary of a junior ascending channel and could be prepared for a breakout within this session.
Given that the 55- and the 100-hour SMAs has fallen below the price, it is likely that the AUD/USD currency exchange rate continue moving upward during the following trading session.
By the middle of the European trading session on Friday, the exchange rate had moved closer to the upper boundary of a junior ascending channel and could be prepared for a breakout within this session.
Given that the 55- and the 100-hour SMAs has fallen below the price, it is likely that the AUD/USD currency exchange rate continue moving upward during the following trading session.
Comment:
The Australian Dollar continues to appreciate against the US Dollar in a junior ascending channel for the third consecutive trading day. This upside sentiment was stopped by the 200-hour simple moving average and the upper border of the ascending channel pattern during the close of Friday’s session.
Given that the 200-hour SMA has fallen below the price, the Aussie is expected to continue its upward movement today. However, the action could be limited by the monthly pivot point at 0.7330.
Technical indicators flash strong bearish signals on the daily time frame. Therefore, it is likely that the resistance as mentioned earlier might drive the currency exchange rate south within this session.
Given that the 200-hour SMA has fallen below the price, the Aussie is expected to continue its upward movement today. However, the action could be limited by the monthly pivot point at 0.7330.
Technical indicators flash strong bearish signals on the daily time frame. Therefore, it is likely that the resistance as mentioned earlier might drive the currency exchange rate south within this session.
Comment:
As shown on the 1H chart that bulls were guiding the AUD/USD currency pair on Monday. The Australian Dollar strengthened against the US Dollar during the end of the trading session yesterday. The exchange rate broke out through the upper boundary of an ascending channel and also tested the weekly R1 at 0.7357.
Given that a breakout had occurred, it is likely that bullish momentum could continue to be at play within this session.
However, technical indicators flash strong sell signals on the daily time-frame. This sentiment might suggest that a decline for the currency exchange rate likely occurs during the following trading hours.
Given that a breakout had occurred, it is likely that bullish momentum could continue to be at play within this session.
However, technical indicators flash strong sell signals on the daily time-frame. This sentiment might suggest that a decline for the currency exchange rate likely occurs during the following trading hours.
Comment:
Downside risks pushed the AUD/USD pair lower on Wednesday even though technical sentiment were flashing a bullish signal; the rate fell below the 55-, 100-, and 200-hour SMAs during the end of the session.
Given that a breakout had occurred through the lower boundary of an ascending channel, the currency pair could be set for a decline in the short-term. However, the price has been consolidating during the first part of Thursday’s session.
Everything being equal, it is likely that the currency exchange rate pushes lower towards a support cluster formed by the combination of the weekly and the monthly PPs at 0.7240 during the following trading session.
Given that a breakout had occurred through the lower boundary of an ascending channel, the currency pair could be set for a decline in the short-term. However, the price has been consolidating during the first part of Thursday’s session.
Everything being equal, it is likely that the currency exchange rate pushes lower towards a support cluster formed by the combination of the weekly and the monthly PPs at 0.7240 during the following trading session.
By the middle of Wednesday’s session, the currency pair has breached the lower boundary of the newly formed ascending channel and also tested by the 55-hour simple moving average.
Technical indicators on the 4H time-frame demonstrate that bullish sentiment is likely to prevail today.