By Mohammed Isah of fxtechstrategy.com
NEW YORK (
: The Australian dollar/dollar currency pair's failed to sustain intraday strength Monday, and the pair now faces bear pressure that could push it to the 0.8858/0.8869 levels.
This zone is layered with a lot of support and should turn the pair higher.
However, if a convincing violation of that zone materializes, we could see further weakness toward the 0.8736 level and then the 0.8632 level of July 19.
Conversely, the pair must move higher than 0.9219 to halt current downside pressure and open the door for further upward moves toward its May 4 high at 0.9265. A decisive break of that level would clear the way for more recovery toward the April 21 high at 0.9337 and then the Nov. 16 high at 0.9404 level.
Mohammed Isah is a technical strategist and head of research at FXTechstrategy.com, a technical-research Web site. He has been trading and analyzing the foreign exchange market for the past seven years. He formerly traded stocks before crossing over to the forex market, where he worked for FXInstructor LLC as a technical analyst and head of research before joining FXTechstrategy.com. He has written extensively on the forex market and technical analysis and his articles have been featured in The Technical Analyst Magazine, The Forex Journal Magazine, The International Business Times and FXstreet.com. At FXTechstrategy.com, he writes daily, weekly and long-term technical commentaries on currencies and commodities, which are offered to its clients. He also produces
for his subscribers. He provides full coverage of the forex market with specific focus on G10 currencies as well as the commodities markets, with focus on five key commodities.