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mportant AUD Pairs: Technical Overview



Even as the AUDUSD took a U-turn from 0.7400 round figure on Wednesday, the pair might again fail to clear the 0.7540-45 horizontal area and can witness the pullback towards 0.7480 immediate support. Should the pair extend pullback moves below 0.7480, the 38.2% Fibonacci Retracement of its May – June rally, at 0.7450, followed by 0.7420, are likely consecutive supports that it could witness before re-visiting a month-old ascending trend-line support around 0.7400 mark, also comprising 50% Fibo. Moreover, pair's further downturn below 0.7400 might trigger its southward trajectory towards 0.7320 and the 0.7300 supports. On the upside, a clear break above 0.7550 can quickly propel it towards 0.7590 and the 0.7615 prior to challenging the June high of 0.7645. If at all, the pair manages to clear 0.7645-50, chances of its run-up to 0.7690 – 0.7700 can't be denied.


While short-term descending trend-line channel keep on indicating EURAUD downside, oversold RSI might trigger its short-covering moves to 1.4850 and the 61.8% Fibonacci Retracement of its May – August 2015 upside, near 1.4930. However, 1.5000 psychological magnet and the confluence of 100-day SMA and channel resistance, around 1.5070-75, could confined its further advances beyond 1.4930. Alternatively, channel support level of 1.4620, adjacent to 1.4600 round figure, can offer nearby rests to the pair's decline, breaking which 1.4460 and the 1.4350 might be seen on the chart.


ver since the UK voted for Brexit, the GBPAUD crashed and dropped to nearly two year lows; however, the pair presently rotates around the 2014 lows of 1.7215, which if broken can further extend its southward trajectory to 1.7000 mark. Moreover, pair's additional downturn below 1.7000 can make it vulnerable to test 1.6875 and the 100% FE of its August 2015 – April 2016 plunge, near 1.6450. Meanwhile, 1.7450 and the 1.7750 are likely immediate resistances that it could avail before aiming the 61.8% FE level of 1.7980. Should the pair manage to clear 1.7980, also surpass 1.8000 on a closing basis, the recovery rally can fuel it to 1.8170 and the April lows of 1.8300 resistance mark.


On Wednesday, the AUDCAD rallied to more than two-month highs; though, S&P's AU outlook cut on Thursday dragged the pair towards revisiting the 100-day & 200-day SMA confluence area of 0.9700 – 0.9710. Given the pair drops below 0.9700 on a closing basis, 50% Fibonacci Retracement of its September – December 2015 upside, near 0.9650, followed by 0.9610, might provide following supports to it. Additionally, pair's break below 0.9610 needs to clear the 0.9570 channel support in order to test 61.8% Fibo level of 0.9540 and the 0.9500 support. On the contrast, a break above 38.2% Fibo level of 0.9780 can propel the pair to channel resistance of 0.9800, breaking which six month old descending trend-line resistance of 0.9850 becomes crucial for the pair traders to watch. If the pair surpasses the 0.9850, it can then move up to 23.6% Fibo level of 0.9925 and then to 0.9960 numbers during its further advance.

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Source: https://www.mtrading.com/analytics/technical-analysis/important-aud-pairs-technical-overview
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