AUDUSD – fresh bullish extension eyes psychological 0.8000 barrier

Slobodan Drvenica Windsor Brokers

The Aussie benefited from weaker dollar and hawkish RBA minutes and rallied strongly on Tuesday, resuming strong rally of last week which took a breather on Monday.

Fresh bullish acceleration took out pivotal barrier at 0.7848 (Fibo 38.2% of 0.9503/0.6825 descend) and extended above round-figure barrier at 0.7900, riding on extended third wave of five-wave cycle from 0.7535 (23 June low).

The wave eyes its 200% Fibonacci expansion at 0.7933 and could extend to psychological 0.8000 barrier (also FE 238.2%).

However, corrective easing could be anticipated in the near-term as daily studies are overbought, but without firmer bearish signal so far.

Higher base at 0.7790 zone (Tue / Mon lows) offer solid support.

Res: 0.7933; 0.8000; 0.8044; 0.8114
Sup: 0.7848; 0.7790; 0.7749; 0.7712

Interested in AUDUSD technicals? Check out the key levels

1. R3 0.7842
2. R2 0.7837
3. R1 0.7831
PP 0.7826
1. S1 0.7819
2. S2 0.7814
3. S3 0.7807

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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