AUD/USD could have topped above 0.7800 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the recent price action in the pair could suggest that a top is in place above the 0.7800 handle.

Key Quotes

“AUD/USD has eroded major support at .7637/36, the 2016-2018 uptrend. Failure here targets initially the .7501 December 2017 low and ultimately the 2001-2018 uptrend at .7142. We notice the 13 count on the 240 minute chart and will attempt to sell a rally”.

“The market recently saw complete rejection of its 200 day ma at .7814 last week. This resistance is reinforced by the top of the channel at .7800 and the 38.2% retracement at .7831, all of which suggests that the market has topped at .7813”.

“The market is directly offered below the 200 day ma at .7813, this guards the March high at .7916 and the February high at .7968”.