The AUDUSD stalled on its initial fall yesterday, near the 61.8% retracement of the move up from the February 24 low (that level came in at 0.72266) and also just ahead of its 100 day moving average (at 0.7223).
Later in the North American session, both those levels were broken, and the price moved lower.
The selling continued in trading today with the move stalling near the swing low target at 0.71679 (see red numbered circles). These levels were outlined in the post from yesterday (click here). Sellers test that level twice today. Each time support buyers leaned against the area and stalled the fall..
The last eight or so hours has seen the price rotate back to the upside. That moved to the upside move back toward the 100 day moving average at 0.7220 and the 61.8% retracement at 0.72266. The high price just reached 0.7227 and backed off. The current price trades at 0.7211.
What next?
Stay below the 100 day moving average and the 61.8% retracement, and the technical tilt remains in the favor of the sellers. However with the 0.71679 level finding support buyers, getting below that level is needed to increase the bearish bias.
Drilling to the five minute chart of the AUDUSD below, an interim target level on the downside ahead of the aforementioned low at 0.71679, will be eyed at the rising 100 bar moving average at 0.7302 and the rising 200 bar moving average at 0.71938 (blue and green lines in the chart below).
Looking at the five minute chart, the price based near the 100 bar moving average before moving to the high for the day. The last dip has also found some support buying against that moving average. Move below (and then below the 200 bar moving average) would increase the bearish bias in the short term and have traders focus on the 0.71679 level.
The levels have been set. It is up to the buyers and sellers to give the next shove in one direction or the other.
