10:02, 05 February
AUDUSD Daily Analysis
The AUDUSD pair declined for the fifth straight session on Friday and closed below the 20day SMA (currently placed at 0.7984/80) at 0.7931, following a low at 0.7919. As of now, the daily RSI and stochastic indicators are pointing towards the north, hinting at possible bullish momentum in the coming session. On the 8H chart, a recent formation of a morning star Doji candlestick pattern, along with the RSI and stochastic oscillators attempting to move out of their oversold regions, further endorses the bullish view. Important resistance is seen at the 2H 20SMA (currently placed at 0.7968/70), followed by the 4H 100SMA (currently trading at 0.8013/15) and 0.8046/50 levels. A surge above the latter might turn the main trend to bullish. Conversely, key support is located at the 4H 200SMA (currently placed at 0.7904/00), a breach below which might trigger increased selling pressure on the pair, paving way for the 0.7863/60 and 0.7830 levels.