Australian Dollar, AUD / USD, AUD / JPY, AUD / NZD, AUD / CAD – Weekly Technical Outlook
AUD / USD – war
The Australian dollar continued to depreciate US dollar last week. Although, AUD /USD cut losses for the weekend. There is now a drop between 50 days and 200 days Simple moving averages can open the door to a wider falling view. Since April 2018, we have not seen an identical death between the same SMAs in the daily schedule. Restoring the downward trend means reaching a lower level of 0.7290 from September. The positive divergence in the RSI still exists, indicating that the negative momentum is fading. This could precede a setback towards near-term SMAs.
AUD / JPY – Neutral
The Australian dollar also weakened against the euro Japanese yen, then cutting most of the losses by the end of Friday. On the daily chart, AUD / JPY lagged behind and then confirmed bullish Dawn star candlestick pattern. This is because prices failed to break in the 200-day SMA, which maintains the dominant upward trend. As such, the increased probability of a higher turn leaves the outlook neutral. Keep a close eye on the former support zone 81.323 – 81.987, this can act as a new resistance.
AUD / NZD – war
The Australian dollar continued to depreciate against the euro New Zealand Dollar last week. However, AUD / NZD was unable to breach the lower support zones of 1.0541-1.0564 in February. Nevertheless, the decline between 20- and 50-day SMAs offers a short-term technical bias. Deletion of direct support reveals a December low of 1.0418. Otherwise, the kickback support may open the door for retesting the SMAs. They can restore the downward trajectory.
AUD / CAD – war
The Australian dollar wanted lower and sustained losses against the Canadian dollar last week. Nevertheless, AUD / CAD continues to fight for progress through the 0.9248 – 0.9294 support zone established in June 2020. A positive RSI divergence warns that the negative momentum is fading. 20-, 50- and 200-day SMAs continue to offer a dominant negative bias as prices consolidate in a declining channel. The couple failed to exceed the channel ceiling last week. When restoring damage, Fibonacci extensions are in focus in the diagram below.
– Written by Daniel Dubrovsky Strategist to DailyFX.com
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