AUD/USD – Consolidating in Narrow Range Below 0.74

AUD/USD – Consolidating in Narrow Range Below 0.74

AUD / USD - Friday, July 24, 2015

The Australian dollar sharply in the past month that led to a new six-year low below 0.7350 earlier this week. He is presently trading near the 0.7350 level looking at the point of drifting a little lower. For the best part of two weeks, the AUD / USD has traded in a narrow range between 0.74 and 0.75 with the former providing reasonable support and the latter providing a strong resistance during this time. He was counting on the support of 0.74 and test that level but it was broken and the AUD / USD has been consolidating around the 0.74 level for the past week. Just a few weeks the Australian dollar began to feel some selling pressure from the level of 0.77 and had his eyes firmly focused on the long term support level at 0.76.

In the first half of June the Australian dollar jumped more than 0.77 lower to a three-week high, but he ran right to resistance at 0.7850 key, which played this role more time this year. All this time, he also spent most of his time fairly stable operations around the 0.7750 level while enjoying a strong support 0.77. Over the past two months, the 0.7850 resistance level has played a major role and continues to exert downward pressure on selling the AUD / USD. During this same period, it benefited from rock solid support from the level of support in the long term to 0.76 that allowed him to bounce back strongly to more than 0.78 to more than one occasion.

Throughout the second half of May, the Australian dollar fall sharply to a four months above 0.8150 to the level of key support at 0.76. This level was a significant level for a couple of months and has supported the Australian dollar on multiple occasions. This recent price action has been a significant reversal, because there is not so long, the AUD / USD has been in a long-term trend solid medium to having broken through the 0.7850 key level and reached four months of high above 0.8150. For most of this year, the Australian dollar has traded in a wide trading range between support at 0.76 and resistance around 0.7850. Earlier this year in February this range was narrower with the highest level of support 0.77. Throughout this period he has had reasonable swings back and forth between the two key levels with very few excursions beyond the levels.

(daily chart / 4 hourly chart below)

AUD / USD on July 23 at 23:55 UTC 0.7358 H: 0, 7417 L: 0.7352

AUD / USD technical

S3	S2	S1	R1	R2	R3
0.7350	-	-	0.7500	0.7850	0.8150

During the first hours of the Asian session on Friday, the Australian dollar is trying to stay in contact with the 0.74 level after spending the last days of consolidating and trading around that level. Current range :. right trading around 0.7350

Other levels in both directions

• Below: 0.7350

• Above :. 0.7500, 0.7850 and 0.8150

[ouvrirRatiosdeposition OANDA

(shows the ratio of long short positions vs held AUD / USD between all OANDA clients. the percentage left (blue) shows long positions ;. percentage right (orange) shows short positions)

the long position report AUD / USD rose above 60% of the AUD / USD has eased following a six-year low near 0.7350. The trader sentiment is in favor of long positions.

Economic Releases

• 8:00 flash PMI Composite EU (July)
• 08: 00 flash manufacturing PMI of EU (July)
• 8:00 PMI flash services EU (July)
• 1:45 p.m. US flash PMI Manufacturing (July)
• 2:00 p.m. US Home Sales new (June)

* All times are GMT release of

This article is only for general information purposes. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or its subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

[ad_2]
Read More : AUD/USD – Consolidating in Narrow Range Below 0.74