23 Mar 2015
AUD/USD: Shallow recovery; fading opportunities at play - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that AUD/USD's recovery has been quite shallow compared to other majors.
Key Quotes:
"It held below the 0.7800 by the end of the week, signalling the dominant bearish term remains in place in the long term."
"From a technical point of view, the 1 hour chart shows that the price holds above a bullish 20 SMA, currently around 0.7710 offering intraday support, whilst the technical indicators have turned lower from overbought territory, with the RSI heading lower around 63, and supporting some further declines."
"In the 4 hours chart the price faltered around a mild bearish 200 EMA a couple of times last week, despite some spikes above it, still acting as a strong dynamic resistance around the 0.7780 level, whilst the technical indicators are turning lower from overbought levels, lacking bearish strength at the time being. With dollar current weakness, the pair may advance some over the upcoming sessions, but selling higher is still the preferred view in the pair."
Key Quotes:
"It held below the 0.7800 by the end of the week, signalling the dominant bearish term remains in place in the long term."
"From a technical point of view, the 1 hour chart shows that the price holds above a bullish 20 SMA, currently around 0.7710 offering intraday support, whilst the technical indicators have turned lower from overbought territory, with the RSI heading lower around 63, and supporting some further declines."
"In the 4 hours chart the price faltered around a mild bearish 200 EMA a couple of times last week, despite some spikes above it, still acting as a strong dynamic resistance around the 0.7780 level, whilst the technical indicators are turning lower from overbought levels, lacking bearish strength at the time being. With dollar current weakness, the pair may advance some over the upcoming sessions, but selling higher is still the preferred view in the pair."