AUDUSD Forex Trading Analysis

AUDUSD Bearishness

AUDUSD Daily Forex Analysis

This post is all about today’s analysis of AUDUSD. The AUDUSD Forex Trading Analysis will help the traders to get the ideas of trading this pair.

AUDUSD Short Trade On H1

The AUDUSD pair maintained its strong bid tone and is now building on to its gains beyond 0.7700 handle to currently trade at a fresh 4-month high level. With spot trading at 0.7719, we can see next resistance ahead at 0.7722 (Daily High), 0.7727 (Daily Classic R2), 0.7766 (Daily Classic R3), 0.7768 (Weekly Classic R2) and 0.7813 (YTD High).

AUDUSD Forex Trading Analysis


As the market is still underpricing the Fed for the upcoming September meeting we think AUDUSD (and equiies) appears vulnerable above 0.77. With the US data calendar quiet until Friday’s retail report and the Fed speakers calendar also in a summer lull, there has been little impetus for further adjustment in Fed expectations after last week’s release. We think data and Fed communication in the weeks ahead will encourage an increase in pricing for a September hike and we remain constructive on the USD. Simple AB = CD Trade. Sell Limit : 0.7769 SL : 0.7862 (above high of structure) TP1 (0.386 level) : 0.76025 TP 2: (0.618 level) 0.7495 TP 3: (1 level ) 0.73228 RISK PIPS : 93 REWARD PIPS : 446.2 (AUDUSD Forex Trading Analysis).

AUDUSD Forex Trading Analysis 1

AUDUSD Forex Trading Analysis

Extending its near-term bullish traction, the AUDUSD pair has now jumped above 0.7700 handle for the first time since early May. A broadly weaker US Dollar has been the key theme in the FX market since NA trading session on Tuesday after second-quarter US nonfarm productivity posted an unexpected decline for third straight quarter. Disappointing productivity data has now convinced markets that the Federal Reserve might refrain from raising interest rate for longer and is thus assisting recovery in high-yielding currencies – like Aussie.

AUDUSD Forex Trading Analysis

AUDUSD Short Idea

There is no change to the near term Aussie outlook. “AUDUSD is approaching an important juncture defined by slope considerations and the pre-May rate cut high at .7719. This level may be resistance but a break above would leave Aussie in full blown bull camp with the focus on the May 2015 high at .8163 and eventually an .8700 handle (AUDUSD Forex Trading Analysis).

AUDUSD Forex Trading Analysis 3

AUDUSD Short Bullish Bat

The Aussie Dollar’s bullish run may be beginning to show signs of faltering as it reaches a long term zone of resistance. Specifically, the recent appearance of not only a rising wedge but also an ABCD pattern could be heralding an imminent downturn. Likewise, the potential formation of a shooting star candle and an overbought stochastic oscillator are hinting that a tumble is looking likely for the AUD in the coming days.

AUDUSD Forex Trading Analysis 4

First and foremost, on the H4 chart there are two patterns which warrant a closer look. As shown above, the pair’s recent ascent has occurred in a rising wedge formation which should mean that the AUD at least moves back to support in the proceeding sessions.