AUDJPY, GBPAUD and AUDCHF: Technical Overview

October 01, 2015 13:46

AUDJPY

Short-term ascending trend-line, connecting September lows, triggered AUDJPY bounce to the 85.00 horizontal resistance, which could open doors for the pair's extended recovery to a month-old descending trend-line resistance, presently near 85.80. Should it manage to break the 85.80, also surpassing the 86.00 round figure mark, encompassing 38.2% Fibo of its August decline, the pair can become strong enough to target 86.90 – 87.00 important horizontal resistance that limits its near-term advance. Moreover, a closing break of 87.00 can pump the pair towards surpassing 89.00 mark. Meanwhile, failure to break the 85.00 mark, as happened during last weekend, can quickly pullback the pair to 84.00 – 83.90 support area, breaking which the mentioned ascending trend-line, currently near 83.00, provides a strong downside support to the pair. On a further decline below 83.00, the pair becomes vulnerable to re-test August lows, near 82.00, which if broken, can thrust the pair towards 80.70-65 support area, encompassing 61.8% FE of the said August downturn.

GBPAUD

Following its pullback from the four month old ascending trend-line break, the GBPAUD continued extending into the breakdown direction and ticked below the 50-day SMA, indicating further declines towards 2.1300, 2.1200 and 2.1100 – 2.1080 immediate consecutive supports. Given the pair's inability to break 2.1080, indicating 38.2% Fibo of its May – August advance, the pair becomes more likely to target 2.0700 area, with 2.0850 being intermediate rest. However, a close above 50-day SMA, currently near 2.1500 round figure mark, coupled with the clear break of 23.6% Fibo, near 2.1580, may fuel the pair towards 2.1800 resistance region, breaking which 2.1950 and the 2.2100 horizontal mark are likely following levels during its sustained up-move. Given the pair's ability to surpass 2.2100 on a closing basis, chances of its rally towards August highs, near 2.2400, can't be denied.

AUDCHF

Although, short-term ascending trend-line limits the near-term decline of AUDCHF, the 0.6950-70 horizontal resistance, encompassing 50-day SMA and 23.6% Fibonacci Retracement of its January – August decline, is likely restricting the immediate up-move by the pair. If the pair successfully encounters the 0.6970 area, chances of its rally to 0.7085 and the six month old descending trend-line, near 0.7145-50, becomes brighter. Moreover, a clear break of 0.7150 can make the pair strong enough to rally towards 38.2% Fibo, near 0.7250. On the downside, failure to break the 0.6970 can continue signaling importance of 0.6800 and the mentioned trend-line support, near 0.6730, are immediate rests. Should it break the 0.6730, the pair becomes vulnerable to plunge towards 0.6650-40 re-test prior to aiming for August lows, near 0.6540.

Follow me on twitter to discuss latest markets events @Fx_Anil

Admirals An all-in-one solution for spending, investing, and managing your money

More than a broker, Admirals is a financial hub, offering a wide range of financial products and services. We make it possible to approach personal finance through an all-in-one solution for investing, spending, and managing money.