09, September 2016

AUD/USD (a 4-hour chart)

General Overview

According to the Australian Bureau of Statistics the trade deficit narrowed to A$2.410B in July vs. expectations of A$2.750.

Current situation

The aussie was stronger in the Asian session on Thursday, trading near local high against the dollar. Bulls managed to break the level 0.7700 on the back of the positive statistics. The pair retreated from the high in the European session, the AUD/USD is heading towards 0.7650. The moving averages (50, 100 and 200) accelerated their growth. The resistance is at 0.7700, the support comes in at 0.7650.

The MACD histogram decreased which indicates the buyers’ weakness. RSI left the overbought area.

Trading recommendations

Technically, the instrument is overbought and we do not exclude a correction to the 0.7650 region.