Yahoo Finance AUD/USD Forex Technical Analysis – Moving Higher Inside Strong Uptrending Channel
The AUD/USD is trading lower on Tuesday. The price action is being driven by a recovery in the U.S. Dollar. Aussie traders may be lightening up because of profit taking fueled by weaker commodity prices and position-squaring ahead of the employment change report later in the week.
The Forex pair is also posting an inside move which suggests investor indecision and impending volatility.
Daily Technical Analysis
The main trend is up according to the daily swing chart. A trade through .7978 will signal a resumption of the uptrend. A move through .7807 will change the trend to down.
The main range is .8124 to .7501. Its 50% level at .7812 is support. Holding above this level will help maintain the upside bias. Falling below it will signal a shift in momentum.
Daily Technical Forecast
The AUD/USD is currently trading inside an uptrending channel. The targets are an uptrending Gann angle at .8001 and a long-term downtrending Gann angle at .8012.
Overcoming .8012 will indicate the buying is getting stronger. This could create enough upside momentum to challenge the next long-term downtrending Gann angle at .8068. This is the last potential resistance angle before the main tops at .8102 and .8124.
On the downside, the first support angle comes in at .7907. Falling below this angle will break the channel. Crossing to the weak side of a long-term downtrending angle at .7899 will indicate the selling is getting stronger. This is followed by an uptrending Gann angle at .7857.
This article was originally posted on FX Empire
