The lowest level since December 29, 2001 week
With the plunge to new lows, the AUDUSD reached the lowest level now to the December 29, 2001 trading week. The low price reached 0.5699 (call it 0.5700). The price has bounced off that natural level. The high price has reached 0.5787 on the rebound. We currently trade at 0.5760.
Drilling to the hourly chart, the price decline took the pair tumbling below a lower trend line at the 0.5758 level. After rebounding above, we are trading back below that trend line at 0.5744 currently. It will take a move back above that trend line to have a chance for further upside.
On the topside, the 38.2% retracement of the move to the downside today comes in at 0.58244. That is the minimum that the price would have to get above and stay above to give buyers some comfort. Failure to do that, and sellers continue to remain in full control.
