The AUDUSD has been stepping decrease for the reason that FOMC determination final Wednesday, when the pair initially broke under its 100-hour and 200-hour transferring averages at 0.7060 and 0.7046, respectively.
The draw back momentum intensified on Monday, resulting in a break under a key channel trendline. Yesterday, the pair retested the underside of that damaged trendline in the course of the Asian session, the place keen sellers stepped in and pushed the pair to a different leg decrease. The value in the end reached a low of 0.68816 earlier than staging a modest rebound.
At the moment’s worth motion has been unstable, with the pair buying and selling in each instructions. Importantly, the session low has remained above yesterday’s low, providing patrons a small constructive. Nevertheless, within the present hourly bar, the worth pushed to a brand new session excessive solely to run into sellers as soon as once more close to the underside of the damaged trendline at 0.6915. The excessive reached 0.6914 earlier than the pair rotated again decrease and at present trades close to 0.6905.
From a technical perspective:
- 0.6915: The underside of the damaged channel trendline and the primary hurdle for patrons.
- 0.6947: The falling 100-hour transferring common and the following key upside goal.
If patrons are going to regain management, they should break and maintain above the 0.6915 trendline resistance after which push by way of the falling 100-hour transferring common at 0.6947.
Till that occurs, the sellers stay in command of the short-term development. Watch the 0.6915 degree for early indicators of renewed shopping for momentum, however take into account that a transfer above the 100-hour transferring common continues to be wanted to shift the bias again in favor of the bulls.
