Trades mid range currently
The AUDUSD fell below the May 2017 low yesterday and failed after a 5 pip break.
Today, that level (at 0.73287) held on the dip. The low reached 0.73293 and bounced. That tells us the buyers are trying to make a play that the bottom is in place.
The problem (or concern for the dip buyers) is that the bounce off that low has only been able to get to 0.73544. That is a start but not much of a bounce (see hourly chart below).
So... the longs/buyers against the May 2017 low are cautious but still hopeful.
Stay above the level (and the low from yesterday) and the hope is for a move toward the
- 38.2% at 0.73683,
- the 50% at 0.73825 and
- the 100 and 200 hour MAs (blue and green lines) at 0.7392 area (and moving lower).
IF the lows are taken out, the dip buyers against those lows, will look to get out, and may look to sell too.
