Technical Outlook :Outlook in AUDUSD has turned neutral with risk to the downside , resistance comes at the 0.8772 levels , a failure to hold above the 0.8722 levels on a weekly closing basis could mean a return to the 0.8540 levels where a cut will turn focus on the 0.8315 levels , further downside will aim the 0.8160 levels.
On the upside , resistance comes at the 0.8772 levels , breaking this level on a weekly closing basis will bring recovery towards the 0.9022 levels , a halt is likely , but further upside will aim the 0.9236/0.9373 levels.
In all , as long as resistance 0.8772 holds on a weekly closing basis , outlook in AUDUSD remains on the downside towards the 0.8540 levels where a cut will turn focus on the 0.8315 levels . a clear break above the 0.8722 levels will turn outlook neutral towards the 0.9022 levels before the next possible fall.
Support and resistance : 0.8315 , 0.8540 , 0.8772 , 0.9022 , 0.9236 , 0.9373 , 0.9504
Key data/events which may influence AUDUSD next week :
Tuesday Nov 18 2014
- From Australia , Monetary Policy Meeting Minutes followed by RBA Gov Stevens Speaks.
- US will release its data on PPI (m.m).
Wednesday Nov 19 2014
- US will release its data on Building Permits followed by FOMC Meeting Minutes.
Thursday Nov 20 2014
- China will release its data on HSBC Manufacturing PMI.
- US will release its data on CPI (m/m ) and Core CPI (m/m) followed by its weekly report on Initial Jobless Claims and Philadelphia Fed Manufacturing Index.
Events will be discussed during the week.
- A weekly closing above the 0.8772 levels will put the pair recovery mode , but recovery above the 0.8772 levels should be limited by the 0.9022 levels where fall resumption is suggested . Above the 0.9022 levels will bring strong recovery towards the 0.9383/0.9504 levels.
- A clear break below the 0.8540 levels is needed to resume fall from 0.9504 levels , If seen , focus will be on the 0.8315/0.8160 levels.
- Watch out for news near support and resistance levels.