FxWirePro: AUD/USD Trade Idea

AUD/USD chart on Trading View used for analysis

FxWirePro Currency Strength Index for AUD/USD: Bias Bearish
FxWirePro's Hourly AUD Spot Index was at -102.263 (Bearish)
FxWirePro's Hourly USD Spot Index was at 119.602 (Bullish)

Technical Analysis: Bias Bearish
- AUD/USD recovery capped below 5-DMA
- The pair is extending downside after rejection at 110-EMA
- On the hourly charts, upside capped at 1H 200 SMA
- Major trend is bearish, price fails to hold break above daily cloud
- Finds support at 21-EMA, break below will accentuate weakness

Fundamental Factors:
- Australian dollar lifted on hopes for U.S.-China trade talks, caution prevails with no concrete details
- Dismal NAB survey indices could strengthen the offered tone around the Australian currency.

Support levels - 0.7171 (21-EMA), 0.7146 (20-DMA), 0.7085 (Sept 11 low)
Resistance levels - 0.72, 0.7224 (5-DMA), 0.7279 (110-EMA)

Recommendation: Stay short below 21-EMA, SL: 0.72, TP: 0.7145/ 0.71/ 0.7085

For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.