After 4 consecutive days of collapse in AUD/USD bulls have been active today, but we perceive these rallies merely as a fresh shorting opportunity.
The pair has struggled and failed to break resistance at 0.7513 levels on daily charts and channel resistance of 0.7688 levels on monthly charts.
“Shooting Star” patterns at peaks of rallies occurred on weekly as well as monthly graphs.
The current prices have been sliding through the sloping channel and rejecting at channel resistance.
The failure swings are likely to collapse to the next supports at 0.7366 and 0.7191 levels.
The current prices on daily charts have slipped below DMA and the slumps are likely to prolong.
On daily terms, Stochastic and RSI noise with intensified selling momentum to signal more slumps in the days to come amid minor upswings.
While, MACD on monthly charts has remained well below zero levels that signify the robust bear trend may prevail further, but with bullish crossover is just deemed as an opportunity to build fresh shorts.
On a delivery basis, if the pair does not manage to break and sustain above 0.7513, then go short in near month futures contracts for targets 100-120 pips in near terms.
On an intraday speculative basis, one can use boundary binary options as well with ITM strikes of 20-25 pips above and OTM strikes 30-35 pips for targets of 30-35 from spot levels of 0.7486.
