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18 Mar 2014
Flash: AUD/USD facing tough resistance at 0.9132/52 - Commerzbank
FXStreet (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank notes that AUD/USD continues to rebound off the 55 day moving average at 0.8936 and while we acknowledge that the market is bid, it is also approaching pretty tough resistance circa 0.9132/52.
Key Quotes
“This is the March high, the 2013-2014 resistance line and the 200 day moving average. We are aware that it could again fail here. Slips should find support between the current March lows at 0.8925 and 0.8891.”
“While trading above here, upside pressure should be maintained. As an aside it is possible that what we are seeing an inverse head and shoulders pattern which will offer a target of 0.9500, but as patterns do not outweigh downtrends, we look for a move to the long term resistance line only for now.”
Key Quotes
“This is the March high, the 2013-2014 resistance line and the 200 day moving average. We are aware that it could again fail here. Slips should find support between the current March lows at 0.8925 and 0.8891.”
“While trading above here, upside pressure should be maintained. As an aside it is possible that what we are seeing an inverse head and shoulders pattern which will offer a target of 0.9500, but as patterns do not outweigh downtrends, we look for a move to the long term resistance line only for now.”