10, November 2016

AUD/USD (a 4-hour chart)

General overview

A weak Consumer Confidence in Australia together with mixed data from China were not able to affect the AUD/USD pair which was mostly influenced by the dollar weakening on the back of Donald Trump's victory.

Current situation

 The AUD/USD showed a strong sell-off in the Asian session on Wednesday. After refreshing monthly highs at 0.7776 the pair fell towards its fresh lows at 0.7570. The pair met a barrier around 0.7570, bouncing upwards immediately after the level test. The AUD/USD pair maintained its bid tone ahead of NY opening, struggling with 0.7675 to move higher. The moving averages are neutral in the 4 hours chart. The resistance is at 0.7675, the support can be found at 0.7650.

MACD decreased which indicates the buyers’ positions weakening. RSI bounced from the oversold area.

Trading recommendations

We believe the Aussie will remain in the red zone in the short-term. After breaking the current support sellers will drive the price towards 0.7625.