AUD/USD Technical Analysis: Upswing Corrective Within Down Trend

AUD/USD Technical Strategy: FLAT

  • Australian Dollar challenges resistance above 0.73 figure
  • Long-term positioning still favors a broadly bearish bias
  • Waiting for attractive opportunity to enter short position

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The Australian Dollar continues to recover against its US counterpart having broken downtrend resistance set from late January last week. Resistance in the 0.7304-15 area is now in focus, with a break above that confirmed on a daily closing basis opening the door for a test of the minor barrier at 0.7382 (August 21 high), followed by former support in the 0.7452-61 zone.

Initial support comes in at 0.7160, marked by a former range top and the upper layer of recently broken trend resistance. A downward reversal that takes prices back below this barrier pave the way for another challenge of support in the 0.7021-41 region, the launch pad for the latest foray to the upside.

AUD/USD Technical Analysis: Upswing Corrective Within Down Trend

Sizing up longer-term positioning seems to paint recent gains as corrective within otherwise broadly bearish positioning. The

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