Forex Technical Update
The 4H AUD/USD chart shows a market rallying above a declining trendline, and above a projected triangle consolidation. The RSI reading failed to break below 40, and returned above 60 suggesting bullish continuation of momentum from the 0.9387 low. The market is also trading above the 200 period simple moving average and moving away from it to the upside, a sign of bullish intent. Price has cracked but is still testing the 1.0470 level, 78.6% retracement. The market cracked it, but is at the moment held below the 1.05 psychological resistance. A bounce off of 1.0390-1.04 pivot area can strengthen the case for further extension to the upside, with the next resistance at 1.0657 then 1.0764.
Fan Yang CMT is the Chief Technical Strategist FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.