Ups and downs today.
The AUDUSD has been high in 4 of the last 5 days. The pair bottomed on Feb 2 against a lower trend line. The pair moved above the 100 and 200 hour MAs on Friday last week (US unemployment day). The move higher was next able to get above a swing area near the 0.7700 to 0.77026 area on Monday (see yellow area with red numbered circles). That area remains a key support going forward.
As mentioned, the price has been moving in an up and down and non-trending motion today. Admittedly, the pair did make new highs for the week and traded at the highest level since January 27, but momentum higher was not all that inspiring.
The ups and downs has used as guardrails a topside trend line and parallel bottom side trendline.
The current lower line comes in at 0.7721 (and moving higher).
The higher line cuts across at 0.77536 (and moving higher too).
The price currently trades at 0.7732 closer to the lower extreme (and below the close from yesterday at 0.77383).
At some point we will get a break and hopefully a momentum move in the direction of the break. On the downside, as mentioned the 0.7700 to 0.77026 area remains a key area (the 61.8% retracement at 0.76981 should be included as well in that support target). A break below that level is needed to tilt the bias more to the downside. Stay above keeps the buyers comfortable, but concerned.
On the topside getting above 0.7763 will have traders looking toward the high price from January 21 at 0.77815 at the next key target to get too and through.
