AUD/USD Price Analysis: Aussie trapped in an ascending triangle

AUD/USD's immediate bias is neutral with the pair stuck in a triangle pattern.
A breakout would imply a resumption of the rally from November lows.

Omkar Godbole FXStreet Contributor

AUD/USD is currently trading above 0.7310, representing a 0.16% gain on the day.

While the pair is flashing green, it is yet to exit a two-week ascending triangle, as seen on the 4-hour chart. As such, the immediate bias remains neutral.

A break above the upper end of the triangle, currently at 0.7340, would imply a continuation of the rally from the Nov. 2 low of 0.6991 and open the doors for 0.7413 (Sept. 1 high).

Alternatively, a triangle breakdown would imply a short-term bearish reversal and shift risk in favor of a drop to 0.6991.

A bullish breakout looks likely at press time, as the equity markets are cheering prospects of an early rollout of coronavirus vaccines in the US.

4-hour chart

Trend: Neutral

Technical levels

AUD/USD

Overview
Today last price	0.7313
Today Daily Change	0.0003
Today Daily Change %	0.04
Today daily open	0.731

Trends
Daily SMA20	0.7207
Daily SMA50	0.7178
Daily SMA100	0.7167
Daily SMA200	0.684

Levels
Previous Daily High	0.7324
Previous Daily Low	0.7266
Previous Weekly High	0.734
Previous Weekly Low	0.7254
Previous Monthly High	0.7244
Previous Monthly Low	0.7002
Daily Fibonacci 38.2%	0.7302
Daily Fibonacci 61.8%	0.7288
Daily Pivot Point S1	0.7276
Daily Pivot Point S2	0.7241
Daily Pivot Point S3	0.7217
Daily Pivot Point R1	0.7334
Daily Pivot Point R2	0.7359
Daily Pivot Point R3	0.7393

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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