Analytic reviews

The Australian dollar fell in a narrow, bearish range during the Asian session to see its fifth session rebound against the dollar on the eve of economic developments and data expected on Wednesday by the US economy, including the speech of members of the Federal Open Market Committee.

In the morning the Australian dollar against the US dollar fell by 0.04% to 0.6889 levels compared to the opening at 0.6892, after the pair reached its lowest level during the session at 0.6883, while the pair achieved the highest at 0.6899.

Investors are looking forward to the outcome of the FOMC member and Chicago Federal Reserve Chairman Charles Evans at the Council on Foreign Relations in New York. In the second quarter.

Markets are also eyeing the US economy to reveal the preliminary reading of non-agricultural sector productivity, which may also show a slower pace of growth to 1.0% vs. 2.3% in the second quarter, up to FOMC member and New York Federal Reserve Chairman John Williams during his participation. In a moderate discussion about the future of the workforce at the Wall Street Journal event in New York.

Technical Analysis

AUDUSD continues to fluctuate around 0.6895, while the Stochastic begins attempts to get rid of negative momentum, waiting for a positive incentive enough to push the price to resume the expected bullish trend for the coming period, which targets 0.7015 as the first major stop, noting that breaking Stability below 0.6895 will push the pair down towards 0.6825 then 0.6755 as the main negative targets.

Expected trading range for today is between 0.6870 support and 0.6960 resistance.

Expected trend for today: Bullish.

Aeroflot reached 107.36 resistance at 23.6% Fibonacci retracement level.

The price is moving under the positive effect of the 7-50-20 moving averages that form support levels.

Stochastic is in a downtrend after exiting the overbought area which negatively affects the price action and increases the resistance 107.36.

Expected trend for today: Bullish.

The general trend on TF H1 is an uptrend. The downward construction formed on the H2 level. A descending truncated M30 level pattern has formed in the wave (C), which ended with the breakout of the inclined channel. Bullish divergence has formed on the Awesome Oscillator indicator, and Stochastic Oscillator indicator signals oversoldness. The breakthrough of 0.6378 will result in the formation of an ascending wave pattern.

Trading recommendations:

Buy above 0.6378.

Stop Loss – 0.6363.

Target levels - 0.6390; 0.6430; 0.6462.

If the price drops to the local minimum, cancel the trading plan.

The pair has formed a double top reversal pattern and the price is at the level of the "neck" line. If the demand for risky assets remains strong, the pair will complete this pattern by dropping further.

The price is below the middle Bollinger band, at SMA 5, but below SMA 14. RSI is located on the oversold zone line and moves horizontally. Stoch are also in oversold zone and uninformative.

Trading recommendations:

The price decline and its consolidation below 1.1075 will lead to the resumption of the pair's drop to 1.1000.

The stock is trading in a downward corrective price channel. Bullish divergence has formed on the Awesome Oscillator indicator, and Stochastic Oscillator indicator signals oversoldness.

Trading recommendations:

Buy while the 123 pattern is forming, strictly above the upper limit of the descending price channel.

Stop Loss- 103.38 or local minimum.

Target levels - 105.00; 107.20.

When buying an option against the trend, it is necessary to confirm other instruments of technical analysis - the presence of divergence, candlestick reversal patterns. Buy against trend strictly on level retest! Buying an option before publishing important economic news is considered risky. The expiration time depends on the strength of the level and confirmation by additional tools of technical and fundamental analysis.

The overall trend is upward. The stock is trading in the range of 150 and 365 moving averages. The pivot zone 232.90 holds back sellers, and Stochastic Oscillator indicator signals oversoldness. Breaking through the pivot zone 236.80 will result in the formation of an upward pattern 123.

Trading recommendations:

Buy after the price fixes above 236.80.

Stop Loss – 232.90.

Target - 242.08.

The pivot zone 1.6931 holds back sellers. The currency pair is trading in the range of 135 moving average directed upwards. Bullish divergence has formed on Awesome Oscillator indicator, and the Stochastic Oscillator indicator signals oversoldness.

Trading recommendations:

Buy while the current upward trend of an upward pattern 123 is forming.

Stop Loss under the local minimum (1.6931).

Target - 1.7078.

When the profit is equal to the stop order, close the  ½ of the order.

The pair remains in the range of 1.1070-1.1175. Yesterday's speech by the new head of the ECB Christine Lagarde disappointed investors, as she did not mention the bank’s monetary policy prospects. The situation is still up in the air due to the continuing disagreements within the bank over the need for further easing of the monetary policy.

The price is below the middle Bollinger band, below SMA 5 and SMA 14. RSI is located below the level of 50% and moves horizontally. Stoch are out of the oversold zone. 

Trading recommendations: 
Sell the pair after it crosses the level of 1.1120 with a local target of 1.1070.

When buying an option against the trend, it is necessary to confirm other instruments of technical analysis - the presence of divergence, candlestick reversal patterns. Buy against trend strictly on level retest! Buying an option before publishing important economic news is considered risky.   The expiration time depends on the strength of the level and confirmation by additional tools of technical and fundamental analysis.