AUDUSD Rebounds Off a Low

Price action in the AUDUSD market has consistently fallen to lower supports. This started months ago when the pair’s price action hit and tested around the 0.6950 mark. This seems to have resulted from the sustained bullish sentiment in the US dollar since then. Currently, the pair has just rebounded upwards due to Australia’s better-than-expected employment data against the US dollar. Let’s take a closer look at the pair below.

Key Price Levels:

Resistance Levels: 0.6400, 0.6500, 0.6600

Support Levels: 0.6300, 0.6200, 0.6100

AUDUSD Bulls Make a Notable Stand

The AUDUSD market has seen a strong upside rebound early in the week’s trading activity. The last price candle on the chart, which corresponds to the ongoing session, can be seen appearing green and a bit large. This suggests that upside forces are gaining prominence in the session due to some favorable factors. However, trading activities remain below all the Moving Average (MA) lines.

Technically, this limits the positive outlook concerning the upside rebound since downward forces are still in control of the region. Meanwhile, the Stochastic Relative Strength Index (RSI) lines can be seen to have delivered a bullish crossover in the oversold region. Consequently, this gives the market an overall short-term bullish outlook.

AUDUSD Indeed Has a Short-term Bullish Outlook

Moving the price action analysis of the AUDUSD market to a shorter time frame of 4 hours, it can be seen that price action has stayed bullish for the second consecutive session. However, the subsequent session has reduced the bullish momentum. Nevertheless, the last price candle here can be seen hugging the 20-day MA line while it appears green.

Similarly, the Stochastic RSI lines have also delivered a bullish crossover in the oversold region, and the ensuing lines are proceeding upward. For what it’s worth, this market may progress towards 0.6400 as investors anticipate impactful data releases from either side of the market.

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