The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.
NEW YORK (
) -- With a reversal of its Friday weakness occurring on Monday and a follow-through now under way, AUD-USD is now preparing to eventually retarget its Feb. 8 high at the 1.0842 level. Above here will open further upside risk toward the psychological mark of 1.0900.
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Further out, the next upside target resides at the 1.1000/4 levels and ultimately, its July 27 high at 1.1078. Its daily RSI has turned higher supporting this view.
On the downside, the risk to our analysis will be a return below the 1.0627 level, its Feb. 14 low. If this occurs, the pair should push further lower toward the 1.0568 to 1.0525 levels, where a breather may occur. However, if this fails to happen, we could see the pair aiming at 1.0444 level.
All in all, the pair remains biased to the upside in the medium term.
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.