FxWirePro: AUD/USD holds 5-DMA support, 'Bullish Cypher' pattern adds scope for upside

• AUD/USD hits fresh highs for the week, up 0.57% on the day, holds support at 5-DMA at 0.7785.
   
• Technical indicators have turned bullish, RSI is sharply higher, Stochs are on verge of rollover from oversold levels.
   
• MACD is on verge of bullish crossover on signal line, which if confirmed adds to bullish bias.
   
• We notice a 'Bullish Cypher' pattern on daily charts which raises scope for gains in the major.
   
• 20-DMA at 0.7873 is strong resistance, break above could see further upside.
   
• On the flipside, we see weakness on break below 200-DMA at 0.7675.

Support levels - 0.7802 (1H 200-SMA), 0.7784 (5-DMA), 0.7733 (Oct 6 low), 0.77, 0.7675 (200-DMA)

Resistance levels - 0.7873 (20-DMA), 0.79, 0.7913 (50-DMA), 0.7930 (Weekly 200-SMA)

Recommendation: Good to go long on dips around 0.7815/20, SL: 0.7780, TP: 0.7870/ 0.79/ 0.7930.

FxWirePro Currency Strength Index: FxWirePro's Hourly AUD Spot Index was at 71.213(Neutral), while Hourly USD Spot Index was at -73.3197 (Neutral) at 0730 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest