AUD/USD: technical analysis 17.01.20
On a 4-hour chart, the instrument is correcting up from the lower line of the Bollinger Bands (0.68830) but is yet to cross the 0.69037 resistance, which coincided with the middle line of Bollinger Bands. The decisive break of this level is needed to indicate the upward trend resumption. In this case, the buyers will aim for the level of 0.69275-0.69330 resistance area.
Failure to conquer the 0.69037 mark seems fetching the AUD/USD to 0.68830 support. The breakdown of this level will be a signal for downward trend resumption and let the price fall to the area of 0.68665-0.68569 support.
Technical indicators maintain a sell signal, but the upward correction is not excluded in the short term period.
Bollinger Bands are pointed downwards.
MACD histogram is ready to enter the negative zone and form a sell signal.
Stochastic has left the oversold area and is pointed upwards, reflecting the high possibility of upward movement formation.
Support and resistance
Support levels: 0.68830, 0.68665, 0.68569.
Resistance levels: 0.69037, 0.69275, 0.69330.
Short positions can be opened below the level of 0.68830 with the target at around 0.68665-0.68569 and stop-loss at 0.68917.
Long positions can be opened above the level of 0.69037 with the target at around 0.68275-0.69330 and stop-loss at 0.68939.