AUD/USD: remaining inside the cloud
Tatiana Norkina, FBS analyst
Yesterday the currency pair was trading within the four-hour Ichimoku cloud. The biggest obstacle for the rate growth remains the cloud upper border - Senkou Span A, which has formed a powerful resistance in the 0.7830 area.
However, the situation may change for the better since the Tenkan and Kijun lines have formed a golden cross this morning, and the cloud has begun to expand upwards.
We should not rule out a break through the above mentioned resistance, with further increase of the bullish activity.
Yet if the bears manage to retain the level, the pair may soon enter the negative zone. In this case, the daily downtrend will continue.
Technical levels: support – 0.7800; resistance – 0.7830.
1. Buy — 0.7840; SL — 0.7820; TP1 — 0.7900; TP2 — 0.7930;
2. Sell — 0.7790; SL — 0.7810; TP1 — 0.7700; TP2 — 0.7680.