Forex Trading: AUDUSD Technical Analysis – January 21, 2020
The AUD declined itself against the USD, with the bearish candle label on the graph. The fall brings AUDUSD’s price down to below 0.6900. A very bad period since the beginning of the month in which AUD has suffered its own self. A recovery phase came, but the unfavorable continuous news did not allow it to move back to its highest position. Therefore, due to the lower low move in the last downside move of the AUDUSD, the technical bias remains bearish.
AUD/USD: Technical Analysis
The level at which AUDUSD stands at times close to the 0.6860. Speaking about the support levels, then the price at this point is supported by the three support levels, the one just below it, which is the trendline support of 0.6823, ahead of the Fibonacci level support of 0.6795, and then the key horizontal level falls at 0.6670, the little distant from the price as shown. in the graph below.
On the opposite side, the price has to cross the resistance levels, that other than unfavorable news also becomes the barrier to lift the price up, as in the above graph, the trendline resistance of 0.6876, is passing just above the price, soon after it, there is another trendline of 0.6912, they both and the Fibonacci level of 0.6894 in between these trendlines, are the instant barrier that may take the price toward the further dropping.
AUD HIA New Home Sales
HIA New Home Sales published by the Housing Industry Association showcases the number of new home sales in Australia. This shows the state of the housing market. And this month, the economist predicted it to be 5.6 percent, but with the negative sign, the recent report marked it at 0.5 percent.
The AUDUSD is now offering a reason to invest their money and to benefit short- and medium-term traders from the price fluctuation. Yet those who wish to trade for a long time will wait as long as the technical bias remains to bearish.