AUD/USD: waiting for new drivers 16 March 2021, 10:51

AUD/USD: waiting for new drivers

16 March 2021, 10:51

Scenario
Timeframe	Intraday
Recommendation	BUY STOP
Entry Point	0.7810
Take Profit	0.7900
Stop Loss	0.7750
Key Levels	0.7600, 0.7641, 0.7675, 0.7721, 0.7804, 0.7840, 0.7867, 0.7900

Alternative scenario
Recommendation	SELL STOP
Entry Point	0.7715
Take Profit	0.7641
Stop Loss	0.7760
Key Levels	0.7600, 0.7641, 0.7675, 0.7721, 0.7804, 0.7840, 0.7867, 0.7900

Current trend

AUD shows ambiguous dynamics of trading against USD during today's Asian session, consolidating at 0.7750. The support, which the instrument is provided by yesterday's strong data from China, is offset by another rise in USD against the background of higher yields on US Treasury bonds. Additional support for USD on Monday was provided by the data on business activity in the US. The NY Empire State Manufacturing Survey in March rose from 12.1 to 17.4 points against the forecast of an increase only to 14.5 points.

Australian statistics are also quite optimistic. On Monday, HIA New Home Sales data were released, which rose 22.9% MoM in February after a sharp 69.4% MoM decline in the previous month. The House Price Index released today reflected a 3% QoQ increase in Q4 2020 after a 0.8% QoQ increase over the prior period. Analysts predicted an increase in the index by only 2% QoQ.

Support and resistance

In the D1 chart, Bollinger Bands are reversing horizontally. The price range consolidated, reflecting an approximate balance of power in the short/ultra-short term. MACD indicator is growing preserving a weak buy signal (located above the signal line). Stochastic, having rebounded from "80" retains a steady downward direction, signaling in favor of the development of a correctional decline in the ultra-short term.

Resistance levels: 0.7804, 0.7840, 0.7867, 0.7900.

Support levels: 0.7721, 0.7675, 0.7641, 0.7600.

Trading tips

To open long positions, one can rely on the breakout of 0.7804. Take-profit – 0.7900. Stop-loss – 0.7750. Implementation time: 2-3 days.

The return of "bearish" trend with the breakdown of 0.7721 may become a signal for new sales with the target at 0.7641. Stop-loss – 0.7760.