AUD/USD – Trying to Stay Above 0.72

AUD/USD (0.7271)

• The Australian Dollar is trying to hold above 0.72. Bullish confirmation is absent.
• Waiting for upswing to end to enter short AUD trade.
• Trade Strategy: Stand Aside

The AUD/USD Forex market is trying to continue its recovery higher. This Forex market had briefly paused around the 0.72 pivot after breaking above the four month trend line resistance. Note the below AUD/USD daily MT 4 chart and the bullish morning star candlestick.

Technical Analysis

Let’s look at today’s daily AUD/USD technical analysis. There is technical resistance at 0.7205. A daily close above this level challenges 0.7534/35. The alternative technical AUD/USD technical analysis, should the Australian Dollar fall, notes technical support at 0.7090, this is former resistance, now trend line support at. A break below this technical level challenges the September 4^th low and support at 0.6908.

Trade Strategy

Let’s now look at today’s AUD/USD trade strategy. There is no strong long or short AUD trade right now. Prices have not confirmed a bullish recovery above 0.72 and can still move back lower. Therefore now long AUD trade. There is the dominant bearish trend in this Forex market, so I would rather wait on an opportunity to short AUD instead of long USD. For now I will opt to stand aside and monitor my charts for a better trade opportunity to come along. For today, I am flat in the AUD/USD Forex market.