AUD/USD potential for further gains above 0.7748 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, suggests there is still scope for further gains in AUD/USD while above 0.7748.

Key Quotes

“AUD/USD remains downside corrective. We have TD resistance at .8097/.8100 and divergence of the daily RSI and the market is viewed under pressure near term. However dips lower should remain well supported by .7836 the April 2016 high. While above the uptrend at .7748 we will assume it is capable of further gains longer term. Intraday rallies are indicated to terminate circa .7875/.7950”.

“Above .8100 targets the .8162/66 May 2015 peak and 50% retracement and this is capable of holding the initial test. Above here lies the .8295 January 2015 high”.