Forex Trading: AUDUSD Technical Analysis – December 24, 2019
Since lapping the height for a week this morning, the AUD faced a fall, this drop is below 0.7000. The price decrease was due to the effects of major monetary news. As far as the technical bias is concerned, it will stay bullish due to the higher high wave in the last upside movement.
AUD/USD: Technical Analysis
AUDUSD, currently being traded at the price of 0.6922, with the multiple resistances that protect the price of AUD from the further falling and will help it to again recover itself against USD soon. the foremost support, the price may get at 0.6822, the major horizontal support, immediately after it, at 0.6857, trendline support stands, and then at the 38.2% fib level, there is the support of 0.6833, as shown in the graph below.
On the upside, there are few levels of resistance that act as a barrier to restrict the price movement of the pair. The price may have a first resistance of 0.6934, a significant horizontal resistance, ahead of 0.6988, a fib level resistance of 61.8 percent and then at 0.7029, trend line resistance stands, as shown in the above graph.
AUD Manufacturing Purchasing Managers Index (PMI)
From the fundamental point of view, the news that may be the cause of price decline is the Manufacturing Purchasing Managers Index (PMI) which dropped by 05 points compared to the previous month’s index, since the manufacturing sector comprises a large part of total GDP.
The decline in PMI production has a significant impact on business conditions and on Australia’s overall economic condition.
AUDUSD’s market appreciates trade for short- and medium-term investors because the technical tendency is bullish.