Chart of the day: AUD/USD

Blake Morrow Forex Analytix

The AUDUSD rally the last 24 hours was faced with a lot of key resistance. If you were a daily listener of the free FACE (Forex Analytix Community Experience) webinar you had been aware that the AUDUSD completed the inverted head and shoulder pattern, was nearing the 200dma and also the 50% retracement just above the .7550 level. In Asian trade yesterday the pair spiked to that level and reversed, which also represents channel resistance from the August to current move. This allowed for savvy shorts to step in and the pair ended up the day with a false upside breakout which could accelerate losses back towards the .7400 level. Asian trades may try to take the pair back above the .7500 level, but may find sellers there overnight.

Author

Blake Morrow

Forex Analytix

Blake Morrow spent most of his professional career as the Chief Currency Strategist for Wizetrade group for 15 years, and then the Senior Currency Strategist for Ally Financial after the acquisition of Tradeking which owned the Wizetrade Group.

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