AUD/USD is at an interesting point to keep an eye at

EagleFX Team EagleFX

AUD/USD has been bullish on the daily chart for the last few days. The chart produced three consecutive bullish candles. Yesterday’s candle closed right within a level of resistance, which is a triple top resistance. Thus, the pair is trading at an interesting level now. A bullish breakout may push the price towards the North, and a bearish breakout at the neckline may push the price towards the South. Major intraday charts and holiday factors may play a vital role in determining its next direction. Let us now dig into those equations.

Chart 1 AUD/USD Daily Chart

The chart shows that the price after being bullish had a rejection at the level of 0.6920. It headed towards the level again, and yesterday's bullish candle closed within the level again. If the price keeps moving towards the North, the daily traders may get themselves busy to look for long opportunities. On the other hand, if the daily chart produces a bearish reversal candle, they may wait for a breakout at the level of 0.6850 to go short.

Chart 1 AUD/USD Daily Chart

The H4 chart shows that the price has been trading by obeying an Inverted Head and Shoulder. It is now trading on the last arm. The price action suggests that the price may find its resistance here. The fact remains, if it makes a bullish breakout, the arm may be extended by making a new higher high. A strong bearish reversal candle, on the other hand, may push the price towards the level of 0.6840. To ride on that bearish wave, the H4 traders might as well wait for a daily bearish engulfing candle forming at the level of resistance.

The H1 chart looks choppy. The price has been roaming around within those two levels for quite a few candles. If the price makes a bullish breakout at the level of 0.6930, the H1 buyers may go long by setting Stop Loss below the level of 0.6910. On the contrary, a bearish breakout at around the level of 0.6910 may make the traders go short by setting Stop Loss above the level of 0.6930. In both cases, the pair offers lucrative risk-reward.

All these three charts look interesting for the traders to keep an eye for trading opportunities. However, considering the factors such as the last week of 2019, Christmas, Boxing Day, thirty-first, and first January may hold the pair back from making a good move.

Try Secure Leveraged Trading with EagleFX!

Author

EagleFX Team

EagleFX

EagleFX Team is an international group of market analysts with skills in fundamental and technical analysis, applying several methods to assess the state and likelihood of price movements on Forex, Commodities, Indices, Metals and

EUR/USD loses traction, breaks below 1.1900

EUR/USD comes under extra downside pressure, breaching below the 1.1900 support once again on Tuesday. The improved tone in the US Dollar keeps the pair on the back foot after two consecutive daily advances. In the meantime, prudence is expected to kick in ahead of the release of the key US Nonfarm Payrolls on Wednesday.

GBP/USD slips back to daily lows near 1.3640

GBP/USD drops to daily lows near 1.3640 as sellers push harder and the Greenback extends its rebound in the latter part of Tuesday’s session. Looking ahead, the combination of key US releases, including NFP and CPI, alongside important UK data, should keep the pound firmly in focus over the coming days.

Gold the battle of wills continues with bulls not ready to give up

Gold remains on the defensive and approaches the key $5,000 region per troy ounce on Tuesday, giving back part of its recent two day. The precious metal’s pullback unfolds against a firmer tone in the US Dollar, declining US Treasury yields and steady caution ahead of upcoming key US data releases.

Bitcoin's downtrend caused by ETF redemptions and AI rotation: Wintermute

Bitcoin's (BTC) fall from grace since the October 10 leverage flush has been spearheaded by sustained ETF outflows and a rotation into the AI narrative, according to Wintermute.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

XRP holds $1.40 amid ETF inflows and stable derivatives market

Ripple trades under pressure, with immediate support at $1.40 holding at the time of writing on Tuesday. A recovery attempt from last week’s sell-off to $1.12 stalled at $1.54 on Friday, leading to limited price action between the current support and the resistance.