AUDUSD Market Sustains Trading Above the 0.6751 Baseline

After the price action had earlier approached the 0.6900 threshold, headwinds initiated a moderate downward correction that brought the market to test the support level at the 0.6751 price mark. However, it appears that the sentiment surrounding the Aussie has improved a bit early into the new year. This has been able to sustain the market above the 0.6751 price level in the meantime.

Key Price Levels:
Resistance Levels: 0.6787, 0.6800, and 0.6900
Support Levels: 0.6750, 0.6700, and 0.6600

The AUDUSD Market Bounces Off Support Level at 0.6751

Following the initiated downward correction in the AUDUSD daily market, the price action rebounded off the price mark of 0.6751. This also kept the market above the middle limit of the Bollinger Bands indicator. It appears that tailwinds had formed a defensive line at the identified price mark, and as soon as the price action hit that wall, it reacted.

The witnessed correction is moderate considering the size of the corresponding price candle. Meanwhile, the Stochastic Relative Strength Index indicator seems to have hypersensitive characteristics since it has fallen deep into the oversold region. This suggests that downward forces may be exhausted at this point, thereby giving upside forces the chance to deliver more upside corrections in this market.

AUDUSD Set to Gain More Traction

Technical indicators in the AUDUSD 4-hour market are showing signs that will aid more traders in keeping a long position. The last price candle on this chart is now testing the middle limit of the Bollinger Bands indicator. The upper shadow of the mentioned price candle suggests that the pair had earlier traded above the mentioned part of the Bollinger Bands.

Likewise, the RSI indicator line is about to deliver a bullish crossover. Consequently, this may cause the price action to cross above the Bollinger Bands Moving Average (MA) line. Once this happens, the pair may gather more traction towards the 0.6900 mark.

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