By: Colin Jessup
The Australian Dollar fell against the Greenback yesterday after the RBA unexpectedly cut rates. The Bears were stopped at the weekly S1 after falling 118 pips and price is currently slightly Bullish going into the London trading session. This is a strong level of support for the pair with the previously mentioned WS1 at 1.0309, an ascending trend-line intersecting at about 1.0260 and a long standing Daily Support zone at 1.0250. With all of that support below, one might expect price to at the very least retrace back up to around 1.0400, if not turn full out Bullish. If price does indeed head back up, look for resistance at 1.0355, 1.0347 and 1.0473. If the Bears remain in control, look for additional resistance at 1.0284 (the Daily S1) and 1.0233 (Daily S2).
Happy Trading!