The Aussie greenback’s been on a tear this August, rallying from .6425 to commerce about 100 pips increased the place it sits now.
Is AUD/USD gearing as much as return to a longer-term uptrend?
Or are we simply getting a present right here, a greater value to promote the Aussie earlier than it heads again down?
AUD/USD Day by day Foreign exchange Chart by TradingView
The U.S. extending its commerce truce with China and the RBA delivering a price minimize that wasn’t all that dovish have helped the Aussie maintain its floor towards main counterparts just like the U.S. greenback.
On the similar time, tender U.S. information and modifications within the Fed’s Governor lineup have fueled speak that the Fed may minimize charges a number of extra occasions earlier than the yr is out.
Keep in mind that directional biases and volatility circumstances in market value are usually pushed by fundamentals. When you haven’t but performed your fundie homework on the Australian greenback and the U.S. greenback, then it’s time to take a look at the financial calendar and keep up to date on each day elementary information!
AUD/USD, which lately broke out of its months-long uptrend, bottomed at .6425 close to the 100 SMA on the each day chart.
Since then, it’s bounced to round .6550, which strains up with the 50% Fib retracement of late July’s slide and the previous channel help that might now act as resistance.
A run of bullish candles above .6525 may put the uptrend again in play, with room to revisit key ranges just like the .6600 deal with.
But when the pair stalls and turns decrease from that damaged help, it might be on its method again to the August lows close to .6425, and even to recent Q3 lows.
Whichever bias you find yourself buying and selling, don’t neglect to apply correct danger administration and sustain with the potential top-tier catalysts that might affect total market sentiment!
Disclaimer:
Please remember that the technical evaluation content material offered herein is for informational and academic functions solely. It shouldn’t be construed as buying and selling recommendation or a suggestion of any particular directional bias. Technical evaluation is only one facet of a complete buying and selling technique. The technical setups mentioned are meant to focus on potential areas of curiosity that different merchants could also be observing. Finally, all buying and selling selections, danger administration methods, and their ensuing outcomes are the only accountability of every particular person dealer. Please commerce responsibly.
