AUD/USD scope for a test of 0.7704/31 band – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, sees the Aussie dollar to re-visit the 0.7704/31 area.

Key Quotes

“The currency pair is approaching the top of the converging range circa .7704 and risks are growing for an overshoot to the .7704/31 September highs. Above here would introduce scope to the .7836 April high (not favoured)”.

“Support remains the five month support line at .7521 and below it lies the 2016 uptrend line at .7501. Further down lurk the September low at .7443 and the 200 day moving average at .7453. This remains a critical break down point to the .7146 May low”.