Talking Points
- AUD/USD Technical Strategy: Sidelines Preferred
- Bulls Hesitate Following Push Above Key Resistance At 0.9440
- Doji On H4 Hints At A Consolidation Over The Session Ahead
The Australian Dollar has staged an upside break above the 0.9440 mark with an absence of bearish reversal patterns casting doubt on a correction. However, skepticism over further gains may also be warranted given the proximity to nearby resistance levels at 0.9495 and 0.9540.
AUD/USD: Breaks Above Key Resistance With Reversal Signals Absent
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
A Doji on the four hour chart offers an indication of hesitation amongst traders, yet is not sufficient to suggest a reversal at this stage. This could leave the currency aligned for a short-term consolidation over the session ahead.
AUD/USD: Upside Break Fails To Find Follow-Through
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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