During the past week’s trading, the AUDUSD pair seems to have experienced some significant price moves in the upside direction. As a result, the pair shot through the 0.6815 price level. Nevertheless, price action seems to have hit some take profits; consequently, this caused some downward correction. However, the pair seem to have started the week with some prospects; let’s see how it goes.
Major Price Levels:
Resistance Levels: 0.6815, 0.6840, and 0.6890
Support Levels: 0.6800, 0.6750, and 0.6700
AUDUSD Bulls Are Making Early Gains
The new trading week has kicked off, and the AUDUSD Bulls appear to be back in business. This is happening after price action seems to have disturbed some headwinds hive near the 0.6900 price level. However, the appearance of the last price candle has set a promising tone for this market.
Price action remained above the Moving Average (MA) lines while the last green price candle appeared. Consequently, this suggests that price action may be ready to correct to the upside. Currently, price action has just pushed through the 50 Fibonacci Retracement level. Nevertheless, the Relative Strength Index (RSI) indicator still shows that upside momentum is reducing. And this throws a dicey situation into this market.
AUDUSD Looks Focused on Reclaiming Lost Upside Marks
Moving to the 4-hour market, it is revealed that AUDUSD is gaining traction above the 9-day MA line. The last price candle has already poked through the resistance formed by the 9-day MA line. Consequently, this suggests that price action may continue to advance toward the 21-day MA line from here.
Also, a bullish crossover can be seen on the Relative Strength Index (RSI) indicator. The lines of this indicator are now trending upwards, with more divergence between the leading and the lagging lines. By implication, this is revealing that price action is increasing in upside momentum. Therefore, traders can hope for a correction towards the 0.6860 mark ahead of contrary fundamentals.
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