Trades to highest level since August 30
The AUDUSD moved to a new session high at 0.7271 and in the process moved above a trend line and the 200 bar MA on the 4-hour chart at 0.7254 and 0.72623 respectively (see chart below). Prior to that break, the pair moved above a swing area in the 0.7229-37 area (see yellow area in the chart below). Those levels are risk levels for longs now. Stay above is more bullish. If the price starts to move below, the bias may tilt back to the downside.
The AUDUSD earlier in the week based at the 0.7143 level That was a swing low from September 5th. The pair has been squeezing higher and higher. The 50% midpoint of the move down from July 10th comes in at 0.7284 and is the next target above.
Drilling to the 5-minute chart, the pattern on the move higher over the last two days, has been able to find support ahead of the 200 bar MA (green line) at 0.72414 (and moving higher), and the upward sloping trend line (at 0.7248 now and moving higher). The 100 bar MA is also in play (blue line). That yellow area in the chart below is another risk defining level for the bulls. Stay above is bullish. Move below and the bullish run is more muddy.
