20, July 2016

AUD/USD (a 4-hour chart)

AUD/USD (a 4-hour chart)

General overview

The AUD fell on the news that the regulator may continue its softening policy. The Australian regulator left the door open for the further rate change for August.

Current situation

The Aussie traded weaker on Tuesday after minutes from the RBA. The pair left the ascending channel. The instrument lost about 1.20% during the course of the day. The resistance is at 0.7500, the support comes in at 0.7400.

MACD is in the negative area. Its histogram decreased which indicates the sellers’ positions strengthening. Indicator RSI is close to the oversold area.

The 4 hours chart shows that the instrument broke the 50 and 100 EMAs. The 200-EMA stopped its further decrease, the 200-EMA acts as a support for the pair. The 200-EMA direction is horizontal, the 50 and 100 EMAs are turning downwards.

Trading recommendations

The price may bounce from the level 0.7500 (the 200-EMA) towards the mark 0.7550 (the 50-EMA). If the price breaks the level 0.7550 the instrument may return to the growth. Otherwise, the AUD/USD will bounce from the level 0.7550 downwards.