AUDUSD: Support will be seen at 0.7500

Jim Langlands FX Charts

The Aud fell to 0.7445 on Wednesday, creating a minor double bottom ahead of a bounce to 0.7522. Currently at 0.7515, the direction today will be provided by the Australian Unemployment figures (exp +20K, 5.5%).

1 hour/4 hour indicators: Turning higher.

Daily Indicators: Turning higher

Weekly Indicators: Turning lower

Preferred Strategy: With the hourly/4 hourly and daily momentum indicators all currently aligned higher it would seem that the Aud can see a runback to the session high and possibly on to 0.7535/40 and on to sterner resistance at 0.7565. Above here would allow a squeeze back to 0.7585, which I think would be a decent area to re-sell the Aud, but above which opens up 0.7600/05 although this seems unlikely to be visited today.

On the downside, support will be seen at 0.7500 and then at 0.7575 and the 0.7445 trend low, but which looks safe right now. If wrong, we could then head towards the 9 May low of 0.7411. This is an 11 month low and decent buying interest should arrive at 0.7400/10. Below 0.7400, there really is not too much to hold it up ahead of Fibo support at 0.7385, the 1 June 2017 low at 0.7371 and the May 2017 low of 0.7328.

Buy AudUsd @ 0.7470. SL @ 0.7540, TP @ 0.7570

Sell AudUsd @ 0.7590. SL @ 0.7615, TP @ 0.7470

Economic data highlights will include:

Consumer Inflation Expectation – May, Unemployment – Apr

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

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