AUD/USD 1H Chart 7/18/2012 10:50AM EDT
The AUD/USD continues to trade in an upwards channel seen in the 1H chart. It just pushed through July’s high at 1.0327, and into highs now seen since the beginning of May 2012. The RSI has been tagging 70 and remaining above 40, a sign of persistent momentum, but we already can tell by the way the market is trading in an upwards channel.
As the bull run extends, it should be noted in the daily chart that the AUD/USD is in a sideways market, and the further away from mean price action, the more tendency it has to revert back to it. In the daily chart, the mean can be interpreted as the 200-day SMA, which is near 1.03.
AUD/USD Daily Chart 7/18/2012 10:55AM EDT
Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist for FXTimes – provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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