Chart AUD/USD Update: Further gains to remain limited
Little change, as prices extend consolidation following the run higher to 0.6960
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.7100 | ** | congestion | S1 | 0.6900 | * | congestion | |
| R3 | 0.7050 | * | congestion | S2 | 0.6850 | ** | 50% ret of Nov-May rally | |
| R2 | 0.7000 | * | congestion | S3 | 0.6833 | ** | 30 Mar (m) low | |
| R1 | 0.6960 | 7 Jul high | S4 | 0.6750 | ** | 61.8% ret of Nov-May rally |
Asterisk denotes strength of level
14:25 BST - Little change, as prices extend consolidation following the run higher to 0.6960. Daily readings are rising and oversold weekly stochastics are turning higher, highlighting room for fresh tests higher in the coming sessions. But already overbought daily stochastics and the bearish weekly Tension Indicator should limit any immediate break above 0.6960 in renewed selling interest beneath congestion resistance at 0.7000. Following cautious/corrective trade, fresh losses are looked for. A break below congestion support at 0.6900 will add weight to sentiment. But a further close below the 0.6850 Fibonacci retracement and the 0.6833 monthly low of 30 March would turn sentiment negative and extend May losses towards 0.6750 retracement.