Forex Trading Library

Intraday Analysis – AUD keeps high ground

0 77

AUDUSD rallies back

Chart of AUDUSD

The US dollar continues downward as the market rules out a 50 basis point hike next month. The pair has recouped most of the losses from last week’s sell-off after bouncing off 0.6870 which coincides with the 20-day moving average. This is a sign that the directional bias has remained upward despite a speed bump. Momentum buyers may double down if the aussie closes above 0.7060, putting the August high of 0.7130 in the crosshairs. As the RSI retraces into neutral territory, 0.6950 is a fresh level to expect follow-up bids.

NZDUSD finds support

Chart of NZDUSD

The New Zealand dollar inched higher as risk appetite gained traction across the board. On the daily chart, a bullish MA cross following a brief consolidation suggests that the rally may have picked up speed again. The previous swing low was contained within the demand zone 0.6330-0.6370, helping the bulls retain control of the price action. A break above the recent high of 0.6520 could trigger a runaway rally above 0.6600. 0.6420 is the immediate support in case the kiwi needs to build a stronger base.

US 30 tests resistance

Chart of US30

The Dow Jones 30 popped higher driven by hopes that US inflation has peaked. On the daily chart, the index is consolidating within 32500 and 34800 after clearing the mid-August high of 34200. This provides a wide swing range on the hourly chart as bulls and bears wrestle for control. The base of the January take-off 32900 is a key support and triggered traders’ ‘buy-the-dips’ instinct. 33300 is a fresh support and renewed buying interest would pave the way for a recovery to 34000 where selling pressure could start to reappear.

Test your strategy on how the AUD will fare with Orbex

Leave A Reply

Your email address will not be published.