Swing area at 0.5973 to 0.5989

The AUDUSD is testing a key swing area today in the 0.59739 to 0.5980. The low price today reached 0.59793. Looking at the hourly chart, that yellow area has been a good dividing line for bulls and bears. Trade above and the price tends to move higher. Move below and the bears are in control.

Swing area at 0.5973 to 0.5989_

For the week, the AUDUSD reached it's high on Tuesday at 0.62130. The low was today at the 0.59793 level. In trading yesterday, the high price stalled against its 100 hour moving average (blue line in the chart above). Today the price tried to hold support above its 200 hour moving average. However in the European session, that moving average is broken and led to buyers turning to sellers, and a push to the key swing area. The 200 hour moving average remains risk level for traders looking for lower levels in the pair going forward.

Taking a broader look at the weekly chart below, the price action this week stayed above the swing low from 2008 at 0.6005 for most of the week. However, today, the price moved back below that key swing low. We currently are trading below the 0.6000 level at 0.5996.

If sellers continue to push lower from here, we could see an acceleration of the selling pressure as the "try" back above the 0.6005 will be considered a failure.

The AUDUSD on the weekly is back below the 2008 low.