AUD/USD: technical analysis – July 16, 2012

The aussie has risen and re-touched the trend-line which it broke out of last week. Further resistance from the 100-day MA has also helped depress prices. Nevertheless, we have seen a recovery of more than 76.4% of the previous rally which is very bullish and it only requires a decisive break above 1.0250 to add fresh impetus to the rally and target the 1.0330 highs. A move below 1.0150 on the other hand could open the door to a continuation down to 1.0100 or even 1.0150 crystallizing the target from the original break-down.

Written by Forex4you