Aayush Jindal
Key Highlights
- AUD/USD started a fresh increase above 0.7000.
- A key bullish trend line is forming with support at 0.6980 on the 4-hour chart.
- GBP/USD extended gains above the 1.3500 resistance.
- WTI Crude Oil prices are under pressure and might test $92.
AUD/USD Technical Analysis
The Aussie Dollar remained supported above 0.6920 against the US Dollar. AUD/USD gained bullish momentum for a move above 0.6980 and 0.7000.
Looking at the 4-hour chart, the pair settled above the 0.7040 level, the 100 simple moving average (red, 4-hour), and the 200 simple moving average (green, 4-hour). A high was formed at 0.7102, and the pair is now consolidating gains.
Immediate support is seen near 0.7045 or the 23.6% Fib retracement level of the upward move from the 0.6859 swing low to the 0.7102 high. The first key support sits at 0.7000 and the 200 simple moving average (green, 4-hour).
The next key area of interest might be near 0.6980. There is also a key bullish trend line forming with support at 0.6980. The trend line is close to the 50% Fib retracement level of the upward move from the 0.6859 swing low to the 0.7102 high.
A close below 0.6980 might push the pair toward the 100 simple moving average (red, 4-hour) at 0.6969. Any more losses could initiate a fresh move to 0.6920.
On the upside, the pair faces resistance at 0.7100. The first major resistance sits at 0.7120. The main resistance could be 0.7180. A close above 0.7180 could open the doors for gains above 0.7200. In the stated case, the bulls could aim for a move to 0.7320.
Looking at Oil, the price started a fresh decline, and the bears could soon aim for a new monthly low below $92.
Upcoming Key Economic Events:
- Fed's Goolsbee speech.
- Fed's Barr speech.
- Fed's Barkin speech.
- Fed's Collins speech.
- Fed's Paulson speech.
