In the daily chart, the pair seems to be just correcting oversold conditions, as the price remains far below bearish moving averages, while the RSI indicator bounces from oversold readings but stands currently at 40, while the Momentum remains flat dip into the red. The weekly high at 0.7453 is the immediate resistance en route to th3 0.7520 price zone. Beyond this last, the pair could need the 0.7600 figure but should clear the next resistance area, at 0.7640/60 to confirm a mid-term continuation. The main support is the yearly low at 0.7345, with a break below it exposing 0.7250 a major long-term static support.
AUD/USD Weekly Forecast - 25 June - 29 June
- Sunday, Jun 24 2018
The AUD/USD pair formed a double bottom in the mentioned weekly low, up from the level but by less than 100 pips, and barely enough to trim weekly losses, falling short of confirming an upcoming reversal. In the weekly chart, the pair is far below its moving averages, which converge in a tight range around 0.7640/60, but with the 20 SMA clearly being the fastest, leaning the risk toward the downside. Technical indicators in the mentioned chart have lost directional strength, but remain within negative levels and below their June highs, also achieved in bearish territory, a sign that bulls remain sidelined.