Senior Technical Analyst at Commerzbank Axel Rudolph noted the pair’s upside appears capped in the 0.7815/31 band.
“AUD/USD rallied to its 200 day ma at .7815 which capped. The convergence of resistance here – the 200 day ma, the top of the channel at .7824 and the 38.2% retracement at .7831, coupled with a TD perfected set up suggests that we should see the cross fail here”.
“Key support remains the 78.6% retracement at .7637 and the 2016- 2018 uptrend line at .7628. The 61.8% Fibonacci retracement at .7744 offers initial support”.
“The March high at .7916 guards the February high at .7968 and key resistance at .8124/62. It consists of the September 2017 high, the May 2015 high and the long term 50% Fibonacci retracement of the move down from 2014”.
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