Daily Swing Chart Technical Analysis
The main trend is up according to the daily swing chart. However, momentum is trending higher following the confirmation of Friday’s closing price reversal top.
A trade through .7283 will negate the chart pattern and signal a resumption of the uptrend. A move through .6829 will change the main trend to down.
The minor trend is also up. A trade through .7141 will change the minor trend to down. This will confirm the shift in momentum.
The main range is .7661 to .6829. Its retracement zone at .7245 to .7343 is resistance. This area stopped the buying on Friday at .7283.
The intermediate range is .7458 to .6829. The market is currently testing its retracement zone at .7218 to .7143.
The short-term range is .6829 to .7283. If the minor trend changes to down then its retracement zone at .7056 to .7002 will become the next downside target area.
Daily Swing Chart Technical Forecast
Trader reaction to .7217 is likely to determine the direction of the AUD/USD on Monday.
A sustained move over .7218 will indicate the presence of buyers with .7245 the next target. Overtaking this level will indicate the buying is getting stronger with the minor top at .7283 the objective.
A sustained move under .7217 will signal the presence of sellers. If this creates enough downside momentum then look for the selling to possibly extend into the support cluster at .7143 – .7141.