Talking Points
- AUD/USD Technical Strategy: Sidelines Preferred
- Directional Bias Lacking With Reversal Signals Absent
- Leap Over 0.9330 Hurdle Required To Open 0.9455
AUD/USD continues its tennis match between 0.9280 and 0.9330 with an absence of key reversal signals offering the pair little guidance. Several short body candlesticks suggest that traders to lead the pair on a break in either direction of the narrow band. Clearance of the congestion near 0.9330 would likely be required to open a run on the Aussie’s recent highs near 0.9455.
AUD/USD: Short Body Candles Highlight Indecision
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart should continue to be monitored for early warnings signs of a turn in the persistent range. The emergence of a bearish reversal signal near the 0.9327/30 ceiling would open the potential for an intraday correction to the range-bottom at 0.9280.
AUD/USD: Awaiting Turning Point Signals Within Narrow Range
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
original source
