- AUD/USD bounces off fresh eight-day low of 0.6809.
- Sellers cheer the break below mid-January top to visit an ascending trend line from March 19.
- 200-day SMA offers additional support during further downside.
AUD/USD drops to the near-term key support line while taking rounds to 0.6820 amid the Asian session on Friday. The Aussie pair prints a 0.50% loss despite recovering from the lowest point since June 02.
Even if the immediate trend line support questions the bears, the quote’s sustained trading below the mid-January top, as well as MACD conditions, seem to favor the sellers. It should be noted that the MACD histogram is flirting with bulls after a month as we write.
As a result, traders are waiting for a clear break below 0.6815 support line to extend the fall. In doing so, the 200-day SMA level of 0.6665 becomes important to watch. Though, February month high of 0.6775 might act as an intermediate support.
In a case whereas the AUD/USD prices take a U-turn from current levels, buyers will wait for a clear run-up past-0.6935 before entering any fresh positions.
Should there be a sustained rise beyond 0.6935, 0.7000 and the latest high around 0.7065 might lure the bulls.
AUD/USD daily chart
Trend: Pullback expected
Reprinted from FXStreet，the copyright all reserved by the original author.
Disclaimer: The views expressed are solely those of the author and do not represent the official position of Followme. Followme does not take responsibility for the accuracy, completeness, or reliability of the information provided and is not liable for any actions taken based on the content, unless explicitly stated in writing.
Leave Your Message Now