The AUDUSD has moved above the 100-hour moving average of 0.66485. That is the first trade above that moving average since falling below on June 20. The price has also moved above a broken swing area between 0.6637 and 0.6652. The area is now close support for buyers looking for more upside. Move back below and the sellers are back in the driver’s seat
On the top side, the broken 50% midpoint of the range of the move up from May 31 comes in at 0.66785 and is the next upside target.
Above that sits a cluster of moving averages starting with the:
- 200-day moving average of 0.66904,
- 200-hour moving average at 0.6696, and the
- 100-day moving average of 0.66994
That area will be a key resistance target area that should attract sellers on a test. I would expect sellers to lean if tested.
Next week (Wednesday in Australia), the RBA will announce their most recent rate decision. The expectations are mixed with the tilt a little in the favor of no change at 4.10% vs a hike of 25 basis points.
What is priced in?
See Justin’s post: