Points to consider in this Aussie Dollar Forex article:
- The Aussie Dollar has inched higher breaking back above the two-week long range resistance level.
- There is no actionable trade at this time. Will wait for another short AUD sale.
- Trade strategy: Stand aside
The AUD/USD Forex market has edged higher with a narrow break back above its consolidation range in play for the last two weeks. The Aussie Dollar is try to secure above the pivot at 0.75, but has failed so far. However, the sudden move higher points to more gains for the Australian Dollar despite a round of disappointing economic data and news flow out of the Down Under.
Aussie Dollar Technical Analysis
Let’s talk about today’s daily AUD/USD technical analysis. There is near-term technical resistance that line up at 0.7545. A break above this technical level, challenges the next upside barrier that lines up at the round 0.76 figure. The alternative Aussie Dollar technical analysis, notes the first downside barrier that lines up at 0.7490. A daily close below this first downside barrier challenges the next technical support level that lines up at 0.7439/40.
Let’s now discuss today’s trade strategy in this Forex market. I did have a short AUD sale at 0.7458 go active but quickly close out as this Forex market moved higher. Right now there is no actionable trade setup as price positioning argues against anther exposure to a trade. I will stand aside for another, more desirable, short AUD sale to come along. The Australian Dollar remains quite bearish and I will look to capitalize on that instead of rushing into long trade. For now I am flat in the AUD/USD Forex market.
Traders should also keep in mind today’s FOMC monetary policy announcement which should cause volatility in the US Dollar.