Correction lower after look above 100 day MA fails earlier in the day
The AUDUSD took another peak above the 100 day MA and the 200 hour MA on the 4-hour chart at 0.69308. The high price moved to 0.6937 and backed off. The failure led to a rotation lower.
That move down, did find early buyers against the 200 hour MA at 0.6900 level (natural support level as well). The 0.6900 to 0.6908 is also a swing area (see red circles). The low reached 0.6903. We currently trade at 0.6910.
If the buyers this week (bottomed on Tuesday) are to keep the move higher going, staying above the 200 hour MA is key. Look for buyers to turn to sellers if that level is broken at 0.6900.
On the topside, the 100 day MA and 200 bar MA on the 4-hour remain as a key resistance target that would give buyers (and sellers) clues. There have been a few tries above with each being unsuccessful this week (see red shaded areas). Sellers are keeping the upside contained. However, if broken and remains broken, that would give buyers more confidence, and scare the shorts into covering. The 61.8% at 0.69489 would be the next target on a break above a successful break above the 100 day MA....
