AUD/USD is testing the bear's commitments at a fundamental turning point

  • Bears tested on upside fundamental turning pint.
  • Technically, still seesawing around a flat 20 SMA and below bearish 100 SMA.

AUD/USD has been testing the bear's commitments in this phase of consolidation on a number of macro fundamentals which have given rise to a second through for long Aussie, and no doubt making the increase in speculative and mone manager shorts positioning nervous.

A case for the upside

The factors to consider are, most importantly, that the RBA minutes signalled a more patient whereby markets have started to factor out a rate cut as soon as September. Also, trade tension escalation has abated ahead of this weekend’s G-7 Summit, or, markets have simply chosen to ignore Trump's shooting from the hit as he just isn't consistent in his words nor actions.

Then, when looking to sentiment in general, banks have moved to an easing bias and there are now talks of fiscal stimulus as well as the likelihood of Central Bank support. Domestically, Australian housing and labour data has been firmer than markets expected and should there be an upside squeeze, then the shorter positions are likely to contribute to a series of stops being triggered through the 0.6830s

AUD/USD levels

However, from a technical perspective, Valeria Bednarik, the Chief analyst at FXStreet explained that the AUD/USD pair is technically neutral-to-bearish according to the 4 hours chart:

"...Still seesawing around a flat 20 SMA and below bearish 100 SMA. Technical indicators in the mentioned chart lack directional strength around their midlines. The pair has been ranging pretty much since the month started, with sellers re-surging on attempts to surpass the 0.6800 level. A couple of relevant highs  are located in the 0.6820 area, where, in the daily chart, the pair has a firmly bearish 20 DMA."


Today last price 0.6784
Today Daily Change 0.0008
Today Daily Change % 0.12
Today daily open 0.6776
Daily SMA20 0.6815
Daily SMA50 0.6909
Daily SMA100 0.6963
Daily SMA200 0.7056
Previous Daily High 0.6796
Previous Daily Low 0.6754
Previous Weekly High 0.6818
Previous Weekly Low 0.6736
Previous Monthly High 0.7082
Previous Monthly Low 0.6832
Daily Fibonacci 38.2% 0.678
Daily Fibonacci 61.8% 0.677
Daily Pivot Point S1 0.6755
Daily Pivot Point S2 0.6733
Daily Pivot Point S3 0.6713
Daily Pivot Point R1 0.6797
Daily Pivot Point R2 0.6817
Daily Pivot Point R3 0.6839



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD tumbles below 1.10 amid weak German PMIs

EUR/USD has dropped sharply below 1.10 after German Manufacturing PMI dropped to 41.4 and other figures are disappointed. Fears of a recession are mounting. ECB's Draghi speaks later.


GBP/USD trades below 1.25 as markets await a Brexit breakthrough

GBP/USD is trading below 1.25, little changed. PM Johnson has expressed optimism ahead of meetings with EU leaders in New York. The opposition Labour Party's is trying to iron out its position on Brexit. 


USD/JPY: Bulls reasurting themselves amid improved trade sentiment

USD/JPY holds firmer starting out the week, as the optimistic sentiment for trade talks remains on track. However, the further upside remains capped by falling Treasury yields-led broad USD weakness.


Gold climbs to over 1-week tops, around $1520 region

Gold edged higher through the early European session on Monday and is currently placed at over one-week tops, around the $1520 region.

Gold News

Top 3 price prediction Bitcoin, Ripple, Ethereum: Bakkt to the Future

Today is the day – the release of futures on Bitcoin by ICE – owner among others by the all-powerful NYSE. This initiative, channeled through the trading platform Bakkt, will allow trading futures on Bitcoin with delivery to maturity.

Read more