The Aussie Dollar Breaks Higher after the Fed

Points to consider with this Aussie Dollar Forex market:

• Aussie Dollar buyer are eyeing 0.77.
• Still no confirmation of a new bullish model nor a bearish signal. Will remain sidelined for now.
• Trade strategy: Stand aside

The AUD/USD Forex market has broken higher getting ready to challenge a key technical resistance level at 0.77. This Forex market has found support at the long-standing rising trend line. There is a number of unbroken higher highs and lows still in play since mid-August. This suggest the overall bearish pattern for the Aussie Dollar is still in play.

Aussie Dollar technical Analysis

Let’s look at today’s AUD/USD daily technical analysis. There is near term resistance lining up at the double top resistance layer. This level is at 0.7678 to 0.7698. A daily close above this first upside barrier challenges the next technical resistance layer that runs to the August 11 high. This upside barrier is at 0.7750 to 0.7760.

The alternative Aussie Dollar technical analysis, notes the first downside barrier lining up at 0.7588. A break below this level challenges the next downside barrier lining up at 0.7533.

Trade Strategy

Let’s discuss today’s trade strategy for this Forex market. Price positioning is simply not attractive enough to pull the trigger on any trade. Here is no actionable short AUD sale, which I would prefer. Entering a long AUD to chase this Forex market higher, when the overall fundamentals scream bearish seems reckless. A trade, for now is premature. For today, I will stand aside and remain flat in the AUD/USD Forex market.