Published On: Fri, Apr 28th, 2017

AUD/USD: general review


Current trend

For the whole current week the pair has been falling with almost no changes. The data on Australian consumer prices and inflation released this week showed growth but appeared to be insufficient for the investors to be sure that RBA would toughen its monetary policy. This was confirmed by yesterday’s statement by RBA head Philipp Lowe. As a result the pair dropped to its 4-month minimum but the zone 0.7400-0.7450 was too stong for it. Starting from the beginning of yesterday’s trading session the pair is in correction. Australian manufacturers price index published tonight was higher than expected but failed to alter the dynamics.

From the USA the market is waiting for the GDP data with a negative outlook at 14:30 (GMT+2). PMI Chicago (also with a negative forecast) is due at 15:15 (GMT+2), and consimer sentiment index with a neutral outlook will be published at 16:00 (GMT+2).

The continuation of the pair’s consolidation in the area of 0.7440-0.7530 is the most likely.

Support and resistance

Support levels: 0.7440, 0.7380, 0.7310.

Resistance levels: 0.7490, 0.7530, 0.7570, 0.7615.

Trading tips

Long positions could be opened at the market price with targets at 0.7500, 0.7530 and a stop-loss at 0.7440.

Alternatively, sell positions may be opened from the level of 0.7440 with targets at 0.7380, 0.7310 and stop-loss at 0.7500.

The period of implementation is 2-3 days.

Forex Analysis

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