AUD/USD Harami Candlestick Pattern Drives Continued Recovery

By DailyFx | July 09, 2014 AAA

DailyFX.com -

Talking Points

  • AUD/USD Technical Strategy: Sidelines Preferred
  • Haramidelivers a recovery to 0.9400 for the Aussie
  • Dark Cloud Coverwarns of an intraday dip

The Australian Dollar has been afforded a recovery on the back of a Harami candlestick formation on the daily chart. The key reversal pattern suggests a potential push back to resistance at 0.9440. However, traders should also be wary of the potential for the bears to regain control of price action given the warning provided last week by a Dark Cloud Cover formation.

AUD/USD: Harami Yields A Recovery, 0.9440 In Focus

AUD/USD Harami Candlestick Pattern Drives Continued Recovery

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

A Dark Cloud Cover formation on the four hour chart warns of some intraday weakness over the session ahead. However with support resting nearby at 0.9385 the extent of any declines may be limited.

AUD/USD: Dark Cloud Cover Warns Of Intraday Retreat

AUD/USD Harami Candlestick Pattern Drives Continued Recovery

4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

By David de Ferranti, Currency Analyst, DailyFX

Follow David on Twitter: @Davidde

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Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.

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