- AUD/USD has declined towards 0.7088 levels after failing to break minor resistance level located at 0.7129 in the mid-morning US session.
- Currently the pair is approaching to testing support level located at 0.7070.
- Any decline towards lower levels is expected to be limited as the pair finds strong support at 0.7033. The pair is expected to reach 0.7140 and later towards 0.7200 as the Aussie dollar is set to strengthen further against its US counterpart in the short term.
- To the upside, the strong resistance can be seen at 0.7144, a break above this level would take the pair towards next resistance level at 0.7200 levels.
- To the downside immediate support can be seen at 0.7070, a break below this level will open the door towards next level at 0.7032.Recommendation: Go long around 0.7040, targets 0.7120, 0.7170, SL 0.6880Resistance LevelsR1: 0.7100 (38.2% Retracement level) R2: 0.7144 (23.6% Retracement level)R3: 0.7172 (Jan 6th high)Support LevelsS1 0.7070 (50% Retracement level)S2: 0.7032 (61.8% Retracement level)S3: 0.6988 (Jan27th lows)
The material has been provided by InstaForex Company – www.instaforex.com