Yesterday's up-and-down day defined the ceiling and floor

The AUDUSD is little changed after the CBA Australian PMI manufacturing data. The AiG performance manufacturing index for November will be released at the bottom of the hour. Last month they came in at 51.1.

Technically, the AUDUSD had an up-and-down session yesterday. Looking at the hourly chart below, the 200 hour moving average (green line in the chart above) stalled the rallies. That MA (and the 100 hour MA - blue line) comes in around 0.7592.

On the downside, a floor was established in the 0.7552-56 area. There are a number of lows going back to last week's trading at that area. In between the buyers and sellers are ping ponging control to each other.

At some point, there will be a break. Until then, traders will be against the ceiling on rallies and likely also lean against the floor with stops on a break. Risk can be defined and limited against those levels.