Australian Dollar: USD/AUD (AUD=X) holding above 0.7400

Australian Dollar: USD/AUD (AUD=X) holding above 0.7400

Australian Dollar: USD/AUD (AUD=X) holding above 0.7400

AUD/USD has moved up to the 21-hr SMA at 0.7418 and pierced it making a high if 0.7434 for the day so far while the Yuan has stabilised making for a positive climate for the proxy trade through the Aussie.

AUD/USD has otherwise been capped below the 0.7440 and actually was sold off heavily down to 0.7383 in late European trade after the after The Shanghai Composite Index, (SSEC) closed down 1.3 pct which initiated a move to the former 3rd of August resistance level around 0.7410. The continuation came with a build-up of dollar bids until the DXY was capped at the top end of today’s range so far between 94.9940-95.4170.

Overall, the bias in prices is: Downwards.

The projected upper bound is: 0.75.

The projected lower bound is: 0.73.

The projected closing price is: 0.74.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 25 white candles and 25 black candles.

A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 87.5885. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 21 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 52.29. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 66 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 114.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 26 period(s) ago.

Rex Takasugi – TD Profile

FOREX AUD= closed unchanged at 0.743. Volume was 94% below average (consolidating) and Bollinger Bands were 57% narrower than normal.

Open High Low Close Volume___
0.743 0.744 0.741 0.743 6,195

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 0.74 0.74 0.77
Volatility: 7 10 9
Volume: 84,084 99,351 93,346

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX AUD= is currently 2.9% below its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of AUD= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on AUD= and have had this outlook for the last 9 periods.

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