AUD/USD rallies seen fading near 0.7985 – Commerzbank

In light of the recent price action around AUD/USD, occasional bullish attempts could fail around 0.7985, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“AUD/USD last week eroded its accelerated uptrend and sold off sharply post payrolls on Friday. It has recently been rejected by key resistance at .8124/62 (the September 2017 high, the May 2015 high and the long term 50% Fibonacci retracement of the move down from 2014). The sell off has reached the 38.2% retracement at .7893.This guards the January 9&10 lows at .7809 and this in turn guards the 200 day moving average at .7747”.

“Intraday rallies are indicated to terminate circa .7985. A close above the .8162 level will introduce scope to .8295 the January 2015 high”.