The AUDUSD moved down yesterday as the pair succumbed to the harsh selling in the US stocks. However, support held near the rising 100 and 200 hour moving averages.
In the early Asian session today, buyers pushed the price up toward the low of the swing area between 0.7029 and 0.7058 (see red numbered circles). The high price reached 0.7023. The subsequent fall lower did dipped below the rising 100 hour moving average but held support against the 200 hour moving average (green line).
Those moving averages was key. The last two breaks above the 100/200 hour MAs (April 20/21 and May 4/5) failed. The hold today, has led to a more steady move to the upside and to new highs going back to May 6.
The price has now moved above the aforementioned swing area (see yellow area and red numbered circles). The 0.70293 is now a close risk level. Stay above and the buyers can look to push the price even higher.
On the topside, the 38.2% retracement of the move down from the April 5 swing high cuts across at 0.71468. Traders will look toward that level. Ahead of that watch the 0.7132 level. That level was a swing highs going back to May 6 when the price was testing the 200 and 100 hour moving averages on the topside and holding against those resistance moving average levels.
