The AUDUSD pair was down 0.3% during the US session on Thursday, trading at around 0.7260.

There is a large bearish pin bar posted on Monday, which might be a negative sign for the Australian dollar. It usually leads to a halt of the bullish momentum, and most of the time, it implies a reversal in trend. 

This time, it also looks like bulls are exhausted, and a correction could occur. If the AUDUSD pair closes below 0.7260 on a daily basis, the pin bar could be confirmed, with the next stronger support at 0.7240. Should the Aussie decline below these levels, further leg lower toward 0.72 seems likely. 

Alternatively, if that pin bar is ignored and the market continues to rally, the resistance zone now stands in the 0.7320 – 0.7340 area. Bulls need to push the pair above this level to confirm the medium-term uptrend. 

Stocks are down today, which should undermine the AUDUSD pair, but it remains resilient so far. We’ll see how the situation develops throughout the US session.

Source: https://www.axiory.com/technical-analysis/audusd-are-bears-going-to-take-advantage-of-the-bearish-pin-bar

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Peter Bukov

Peter comes from a background in corporate finance which began in 2013 when he completed the Corporate Finance Program at the University of Economics in Bratislava. He’s been actively involved in the market sector since 2008 and got his hands-on experience in trading in 2011. His experience in finance and trading continues not only as a market analyst at Axiory Intelligence but also through his studies to obtain a degree in Capital Markets. The study is in line with MIFID II regulations and is under the supervision of the European Regulator ESMA, which strongly emphasizes ethics and morale in investing and working with a client.

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