29, July 2016

AUD/USD (a 4-hour chart)

AUD/USD (a 4-hour chart)

General overview

The dollar is under pressure after the Fed decision to keep the rate unchanged. The markets did not get a solid confirmation that the regulator will change the rate in September.

Current situation

The instrument decreased from the daily high at 0.7550. The pair tested the level 0.7500 and closed the day bearish. The resistance is at 0.7600, the support comes in at 0.7500.

MACD decreased which indicates the buyers’ positions weakening. RSI advanced south from the overbought area which is a sell signal.

Technically, the price is approaching the 50 and 100 Day EMAs in the 4 hour chart. The moving averages 50, 100 and 200 are neutral.

Trading recommendations

If the pair makes a breakout of 0.7500 and consolidates below the downward trend will be continued. The sellers’ next target is the support 0.7400.