AUD/USD technical analysis : Stamina preserves bullish bearing

AUDUSD, in spite of its recent stalling, maintains a sturdy positive structure above the simple moving averages (SMAs) and the Ichimoku cloud. Aiding the climb is the intact bullish drive in the Ichimoku lines and the robustness of the upward sloping 50- and 100-day SMAs.

The short-term oscillators illustrate the recent pause in the pair, reflecting the reduction in positive momentum. The MACD, in the positive area, is carefully shadowing below its red trigger line, while the RSI is weakening in bullish territory. Moreover, the stochastic oscillator has turned negative promoting frailty in the pair. Nonetheless, the MACD and RSI remain in positive regions while the SMAs bullish tone prevails.

If buyers resurface, immediate resistance may arise from the 0.7344 high, and the adjacent near 25-month peak of 0.7413. Surpassing this, the 0.7452 to 0.7483 area of highs from early July and August, may provide limitations to the ascent. Should the potency in positive sentiment endure, the price may shoot to test the 0.7608 obstacle and the 0.7676 peak, both from early June of 2018.

Alternatively, if sellers steer below the Ichimoku lines at 0.7268, initial support may commence at the 0.7192 boundary and the 50-day SMA marginally beneath. Subsequently, if the key 0.7064 - 0.7135 trench of congested lows and the cloud fail to terminate further declines, the price may aim for the 0.6963 mark. This happens to be the 23.6% Fibonacci retracement of the up leg from 0.5506 to 0.7413, and where the 100-day SMA currently resides. Diving deeper, the critical 0.6749 to 0.6806 buffer zone, which encapsulates the 200-day SMA, may draw traders’ attention.       

Summarizing, in the short-to-medium-term timeframe, a bullish bias persists above the SMAs and the 0.7064 border.