Pair moves to new day highs
The AUDUSD has pushed to new day highs and in the process triggered stops on the move above the 200 and 100 hour moving averages (green and blue lines in the chart below). The pair is currently testing the underside of the broken trend line at 0.7825 . This trendline was broken in yesterday's trading. In Far East and early European trading today, the move to the downside extended toward the 50% of the move up from the February 12 low. Yellen's comments helped pushed the dollar back down - helping the AUDUSD recover and move higher.
Trading conditions remain choppy. However, intraday traders may look to lean against this resistance level for a low risk trading opportunity. On a break. I expect further momentum with the 0.7848 to 0.7858 area a clear ceiling. On a rotation lower, look for the support to now come in against the 100 hour moving average at 0.78019. The 200 hour moving average is currently at 0.7788 and this too is support in the up and down market.