The AUDUSD fall after the speed minimize didn’t final lengthy. Checks final week's highs

The AUDUSD began the session on the again foot after the RBA price determination, breaking beneath its 200-hour shifting common at zero.6487. Sellers briefly took management, however momentum shortly shifted as patrons stepped in, reversing the decline and pushing the pair again to the upside.

Volatility surrounding the US CPI report drove the worth as much as the 100-hour shifting common at zero.65138, the place sellers initially defended the extent, forcing a retreat to zero.6490. That dip, nonetheless, was short-lived. Consumers reasserted management, breaking above the 100-hour shifting common and accelerating features as US greenback promoting took maintain.

The rally has carried the pair towards final week’s excessive at zero.6541, with right this moment’s peak reaching zero.65392. The following main resistance sits on the 61.eight% retracement of the drop from the July 24 excessive, at zero.65455. A break above this stage may affirm a bullish breakout and goal increased retracement zones.

Key Technical Ranges

• Resistance: zero.6541 (final week’s excessive), zero.65455 (61.eight% retracement of July 24 drop)

• Help: zero.6521 (50%), zero.65138 (100-hour MA), zero.6487 (200-hour MA)

Bias:

• Above zero.65138 – Bullish bias with scope to problem and doubtlessly break zero.65455.

• Beneath zero.65138 – Momentum fades, and sellers may retest zero.6487 and the 200-hour MA.

This text was written by Emma Wang at investinglive.com.