The AUDUSD has witnessed an extension of its upside corrections as the price action marches past the 0.6700 threshold. This is largely due to the poorer-than-expected ISM manufacturing and Service PMI reports. Despite the impressive improvement in June’s Nonfarm payroll data, the past two months’ results of these data overwhelm any bullish momentum that may have developed. Let’s try to find out what may be expected in the coming days.
Key Price Levels:
Resistance Levels: 0.6800, 0.6900, and 0.7000
Support Levels: 0.6700, 0.6600, and 0.6500
AUDUSD Bulls Are Pressing On
Price action in the AUDUSD market has burst through the ceiling of the sideways price channel at 0.6700. The previous week has been quite profitable, as the Australian dollar has maintained an impressive performance against the US dollar. The market has advanced further above the Exponential Moving Average (EMA) curve.
Thursday’s session seems to have found support above the 0.6700 mark. The Stochastic Relative Strength Index (SRSI) indicator lines have risen deep into the overbought region and still maintain an upward path even after the leading indicator line has reached the 100 mark. This confers a strong bullish outlook on the market.
AUDUSD May Soon Cross the 0.6750 Threshold
Price activity in the 4-hour AUDUSD market now hovers around the 0.6750 price level. The closing session of the previous week popped through this price line. Nevertheless, the session remains largely bullish as buyers retain significant control of price movement. Also, price action stays above the EMA curves and maintains a significant distance.
Likewise, the SRSI indicator lines have reached the 100 level. These lines can be seen merged and are trending sideways at the 100 mark of the indicator. This shows that upside forces are relentless and are making a positive impact on the market, potentially propelling it past the 0.6750 and towards the 0.6770 price level. The new week may result in a lot of intrigue, as Monday seems packed with fundamentals on both sides of the pair. This may further offer some guidance about market directions in the coming days of the week.
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