Forex Technical Update
The AUD/USD has been trading in an upwards channel. As it does, price has pushed above the 200 day simple moving average, and is now also pushing above a projected triangle resistance seen in the daily chart. We are now opening up the 1.0770 pivot as the next resistance/target. That is, if the break does materialize from today's initial crack at resistance. Staying above 1.0370 and breaking above 1.05, should serve as strong breakout signal.
The 4H chart shows a bit of a slowdown in momentum, with somewhat of an extended bearish divergence. However, price action continues to push higher. The latest pivot to become of importance is the 1.0370 level. If the market can stay above this level, chances are good AUD/USD bulls to break through the triangle resistance. However, if the market falls back below, the initial break or crack of channel resistance would be seen as a false breakout. A retracement toward 1.02 could be in order before the market decides on direction.