The previous week’s trading ended on a positive note for the AUDUSD pair. This is because price action in its market was able to sustain its upside correction off the support level at the 0.6380 price mark. Having said that, this has placed the pair at a favorable level to catch more momentum in the new week.
Major Price Levels:
Resistance Levels: 0.6458, 0.6500, and 0.65500
Support Levels: 0.6408, 0.6358, and 0.6308
AUDUSD May Pickup More Traction
As earlier pointed out, the AUDUSD didn’t end the previous week on a dismal note. Although not too impressive, it at least leaves a positive impression. Consequently, this suggests that there may be further price increases in this market.
This inference is derived from the fact that price action now stands above the crossed 9- and 21-day Smooth Moving Average SMA lines. As a result, this has a bullish implication for this market. On the contrary, the Relative Strength Index (RSI) indicator lines continue to descend towards the 75 mark of the indicator. These seem contradictory at this point and, as a result, beg for further critical examination.
AUDUSD Buyers Are Looking Prepared To Take the Lead
In the AUDUSD 4-hour market, it could be seen that price action is eying trading in the price range of 0.6500 to 0.6600. Similar to the position of price action in the daily market, it could be seen that the current price of the pair in this time frame has also surpassed both the 9- and 21-day SMA lines.
Additionally, the RSI lines can be seen rising steeply upward towards the 70 level. Consequently, this hints at rising bullish momentum in this market. Summing up the indications coming from technical indicators here, we can predict that price action seems primed for rising above the 0.6500 mark, which will bring the pair to trade within the mentioned range.
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