DailyFX.com -

Talking Points

  • AUD/USD Technical Strategy: Sidelines Preferred
  • Clear candlestick reversal patterns absent on the daily chart
  • Doji in intraday trade highlights hesitation near 0.9400

AUD/USD remains range-bound with key reversal signals absent on the daily, suggesting the consolidation may continue. Given the narrow 0.9320 and 0.9440 corridor remains intact, turning to intraday timeframes may offer short-term range-trading opportunities.

AUD/USD: Consolidation Between 0.9320 and 0.9440 Continues

AUD/USD Sideways Drift Leaves Range Trading Preferred

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

Examining the four hour timeframe; the psychologically-significant 0.9400 handle appears to be offering some intraday resistance. A Doji candlestick highlights hesitation amongst the bulls and while not classified as a reversal signal, could offer an early indication of a shift in sentiment over the session ahead. A pullback would likely find support at 0.9325, while an upside break would open the 0.9440 range-top.

AUD/USD: Doji Highlights Hesitation Near 94 US Cent Handle

AUD/USD Sideways Drift Leaves Range Trading Preferred

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

To receive David’s analysis directly via email, please sign up here

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

You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    US Dollar Risks to the Downside on a Break of these Key Levels

  2. Forex News

    Preview for FOMC Meeting and Trade Setups for USD-pairs

  3. Forex News

    US Dollar Likely to Rise After FOMC Policy Announcement

  4. Forex News

    AUD/USD Bounces from Median Line

  5. Forex News

    AUD/USD Outlook Mired as IMF Adds to RBA’s Verbal Intervention

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!