Simple Moving Average(SMA) 50-period (red), 200-period (bold, gray)
RSI-14 with Simple Moving Average 5-period of RSI attached.
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term support and resistance
Multiple Time-frame Analysis
- The AUD/USD might have topped off at 1.02 area as the market failed to break this in a second attempt. In doing so, it is forming a double top, if the base at 1.01 is broken. The market is currently hammering at this level.
- A break below looks at the 1.0050-1.0070 zone as support.
- Below that the parity level, at 1.0 continues to keep the AUD/USD bullish.
-Meanwhile, the bullish scenario is made stronger if the RSI remains above 40.
- A break below 40 in RSI, with price action dipping below 1.0 would signal a bearish attempt towards 0.9760 and possibly lower.
- The daily chart shows the projection to 0.9760, below which is the 0.9550 target.
- Note that the RSI remains bullish as it had failed to break below 40. A sustained break above 60 in this RSI in the daily chart would reflect a bullish market.
Has the Aussie turned back into the bullish mode? Is the current decline just a correction to lead to a rally towards 1.0250? We would love to hear what you think.
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Fan Yang CMT
Chief Technical Strategist