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Technical analysis of AUD/USD for January 14, 2021

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Overview :

In the one-hour time frame, the AUD/USD pair continues to move in an uptrend from the level of 0.7685 this week.

So, major support is seen at 0.7685, while immediate resistance is found at 0.7782. Besides, it should be noted that the support coincides with the ratio of 23.6% Fibonacci.

Today, we guess that the pair will be traded higher in the early session and try to reach the first resistance at the level of 0.7782.

The bias is neutral in the nearest term probably with a little bullish bias testing 0.7782 area which needs to be clearly broken to the upside to keep the bullish scenario strong.

A clear break above that area (0.7782) could lead the price to the neutral zone in the nearest term testing 0.7821 (double top).

Thus, we confirm the bullish scenario.

On the downside, a clear break and daily close below 0.7875 could trigger further bearish pressure testing 0.7643 which represents a double bottom in coming five days.

Consequently, the AUD/USD pair is able to close below the support of 0.7643 on the four-hour chart; the trend will continue its bearish momentum today.

As a result, it is gainful to sell below this price (0.7875) with targets at 0.7685 and 0.7643.

However, the bullish trend is still expected for the upcoming days as long as the price is above 0.7643 levels. Range : 0.7643 - 0.7875.

The material has been provided by InstaForex Company - www.instaforex.com