FX.co ★ AUDUSD vulnerable to a pull back towards 0.6920.

AUDUSD has made an impressive upward move the last few months from 0.55 to 0.72. There are increased chances now for a pull back at least towards 0.69. We use the Ichimoku cloud indicator in order to find the levels we need to watch out.

AUDUSD is challenging the tenkan-sen (red line indicator) at 0.7160. If support fails to hold, price should move towards the kijun-sen (yellow line indicator) at 0.7085. If this support also fails to hold then we move towards the cloud at 0.6920 area. Keep an eye on these support levels.

As can be seen above in the Daily chart we already have a bearish divergence by the RSI. This is an important warning that we should take into serious consideration. This is not the time to be bullish AUDUSD. Better wait for a pull back.