Chart AUD/USD Update: Gains to remain limited
Consolidation above the 0.6130 fresh year low of 13 January has given way to the anticipated bounce
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.6350 | break level | S1 | 0.6131 | * | 13 Jan YTD low | ||
| R3 | 0.6300 | ** | congestion | S2 | 0.6100 | ** | 76.4% ret of 2020-2021 rally | |
| R2 | 0.6274 | * | 20 Dec high | S3 | 0.6000 | ** | figure | |
| R1 | 0.6200 | ** | congestion | S4 | 0.5980 | ** | April 2020 low |
Asterisk denotes strength of level
14:40 GMT - Consolidation above the 0.6130 fresh year low of 13 January has given way to the anticipated bounce, with prices currently balanced beneath congestion resistance at 0.6200. Negative daily stochastics have flattened and the daily Tension Indicator is turning up, suggesting room for a break above here. However, broader weekly charts are mixed/negative, suggesting potential for renewed selling interest towards resistance within the 0.6274 - 0.6300 area. Meanwhile, support remains down to the 0.6100 Fibonacci retracement. A close beneath here is needed to turn sentiment negative and extend broad losses towards 0.6000.