AUDUSD 0.7164 – Short-term bullish – Rallies to test falling channel resistance
AUDSD rallied the last 5 days to reach 0.7183 (September 16, 2015 high), testing the 3-month falling channel resistance (from June 18, 2015 high). The indicators remain positive, suggesting scope remains for further upside. The pair needs to break out of the .7205/.7233 resistances decisively to signal a true breakout and challenge .7310 next (August 24, 2015 high). A shallow pullback to the 0.7123/0.7085 support zone (September 16/15, 2015 lows) is possible where the pair should find a foothold. However, a break below 0.7085 would caution bulls and risk a deeper setback towards 0.6945 (September 10, 2015).
Outlook:
Intraday: bullish
Daily: neutral
Weekly: neutral
AUDSD rallied the last 5 days to reach 0.7183 (September 16, 2015 high), testing the 3-month falling channel resistance (from June 18, 2015 high). The indicators remain positive, suggesting scope remains for further upside. The pair needs to break out of the .7205/.7233 resistances decisively to signal a true breakout and challenge .7310 next (August 24, 2015 high). A shallow pullback to the 0.7123/0.7085 support zone (September 16/15, 2015 lows) is possible where the pair should find a foothold. However, a break below 0.7085 would caution bulls and risk a deeper setback towards 0.6945 (September 10, 2015).
Outlook:
Intraday: bullish
Daily: neutral
Weekly: neutral
