The AUDUSD got a boost from the PBOC yesterday, but the market has lost it’s momentum off the news.
Nevertheless the 100 hour MA (blue line in the chart below) continues to hold as support on the downside – for now at least. Staying above, keeps the buyers clinging to control (although just barely). The price move above the 100 hour moving average was the 1st break since September 8th.
I am concerned with the lack of follow-through momentum from yesterday’s break. We saw last week the much stronger employment report do little to for the upside. The buyers are trying to hold onto support, but it seems to me that a move back below the level would turn the bias back to the downside. Doing more watching though, with an eye on momentum (higher or lower).
AUDUSD above 100 hour MA but momentum is fading.