Published: 2025-01-24T09:13:41.000Z
Chart AUD/USD Update: Breaking higher
Senior Technical Strategist
-
Cautious trade has given way to anticipated gains
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.6475 | ** | 61.8% ret of Nov-Jan fall | S1 | 0.6300 | ** | congestion | |
| R3 | 0.6450 | break level | S2 | 0.6250 | * | break level | ||
| R2 | 0.6400/10 | ** | break level; 50% ret | S3 | 0.6200 | ** | congestion | |
| R1 | 0.6340/50 | * | 38.2% ret; break level | S4 | 0.6131 | * | 13 Jan YTD low |
Asterisk denotes strength of level
09:00 GMT - Cautious trade has given way to anticipated gains, with the break above 0.6300 improving price action and putting focus on resistance at the 0.6340 Fibonacci retracement and the 0.6350 break level. Daily stochastics are flat in overbought areas, suggesting any initial tests could give way to consolidation. However, the rising daily Tension Indicator and improving weekly charts point to room for a later break and continuation of January gains towards 0.6400/10. Meanwhile, a close below congestion support at 0.6300 will turn sentiment neutral once again and prompt consolidation above 0.6250.