XM does not provide services to residents of the United States of America.

Technical Analysis – AUDUSD resilient above 0.7230, but still under bearish risk



AUDUSD was unsuccessful in piercing the 0.7300 level late on Wednesday but resilient enough to hold above the familiar base of 0.7230, where the bulls found some footing in the last week of August and market actions paused in the second half of 2020.

The RSI and the MACD have yet to show any convincing improvement, with the former maintaining its downward pattern from the start of September comfortably below its 50 neutral mark despite its latest upturn, and the latter extending its negative momentum below its zero and signal lines. Hence, there is not sufficient evidence yet that the sell-off has found a bottom.

Nevertheless, if the price manages to bounce off 0.7230, the former support region of 0.7325 could play a resistance role with the help of the 20- and 50-day simple moving averages (SMAs), which are hovering around the same location. Beyond that, the bulls will need a green pass around the 0.7400 barrier in order to gear up to September’s ceiling of 0.7477.

Otherwise, another negative extension to the three-week decline could last until the 9-month low of 0.7105. Cracking that floor would further amplify losses, likely bringing the Autumn 2020 support of 0.7021 next into view, while deeper, the spotlight may turn to the 0.6920 restrictive territory.

In summary, AUDUSD still appears to be under bearish control despite the recent consolidation in the price, with confirmation awaited below 0.7230


Latest News

Technical Analysis – BTCUSD advances towards all-time highs


Technical Analysis – AUDUSD gets bearish vibes

A

Technical Analysis – WTI oil futures in fierce battle with 50.0% Fibo

O

Technical Analysis – GER 40 index marks highs after highs

G

G

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.