Although correlation between EURUSD and AUDUSD has been positive, USDAUD has resisted major USD weakness after dovish FOMC minutes. Commodities are also pricing in fears of slower Chinese growth so AUD weakness is also seen on price chart.
Technically AUDUSD is ranging within hybrid EQ channel span and we can see that 0.7350 is providing resistance.
Triple confluence is constituting POC at the zone ( H3, Descending TL, EQ channel top ) and rejection from this are has the potential to reach 0.7250 again. Adding to that we can clearly see historical vs now moment sellers indicated by always important candle wicks.
Currently AUDUSD is heading towards 0.7325 and 0.7300 where clusters of support lie. It is not surprising because ATR is small but that gives the pair nice trading opportunities shorting it from the triple resistance for both short term and swing traders.
Swing traders should have in mind that next important resistance above the EQ channel confluence is 0.7385 and 0.7450 respectively. If 0.7430-50 stays strong there is even scope for sub 0.7200 levels where channel lines need to be adjusted.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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