The AUDUSD has enjoyed a nice move back higher but has run into resistance near the midpoint of the months trading range. That level comes in at the 1.05108. The high extended to 1.05194 and 6 hourly bars have breached the level, but sellers seem to be content taking profit.
Although there are sellers, the rotation down has been finding it’s own support against the 200 hour MA (green line). That level comes in at the 1.0501 level. The current bar on the hourly may be telling for the bias as we head into the London/Europe close. On a rotation back down below the 200 hour MA, I will be watching the 1.0486 area for further bearish clues. That level was the low on the last move down today and is where the 200 bar MA on the 5 minute chart is found see chart below. Move below it and there could be further liquidation.
Until the 200 hour MA is breached however (and stay that way), a further move higher targets 1.05348 (see chart above). Decision time for the pair as London traders look to exit.
