Trades at highest level since August 1
The AUDUSD is higher for the 3rd day in a row after the low on Tuesday could not reach the early August low (and low for the year) at 0.66767. The low on Tuesday reached 0.6687 - 11 pips short of that 2019 low.
The rally higher on the daily chart has extended up to a high today of 0.6829. The 38.2% of the move down from the July high comes in at 0.68313. The low from June 18 (low for that month) comes in at 0.68312. The low on July 31 (low for that month) came in at 0.6831 as well.
So there was three good reasons to find sellers at the level. The price backed off against the resistance target. We currently trade at 0.68166.
Drillling to the hourly chart below, the price action has been consolidating the run higher over most of the trading day today. The lows in the London/NY sessions have remained above the 0.6800 level (actually above 0.6806). We trade near the middle of the 0.6806 to 0.68292 high currently. The price is also below a lower channel trendline.
So we are looking to end the day and start the new day with bullish and some bearish tilts.
The bullish is the price has had a nice three day run higher. The price ran away from the 100 and 200 hour MA. At the low this week, the pair could not extend lower on the break.
The not so bullish, is the correction reached overhead resistance at 0.6831 and stopped (well stopped just before that level). The price has also dipped below the lower channel trend line.
So there is a battle going on now with 0.6800 as close support below and 0.6831 as close resistance. We trade between those levels and look for the next shove higher....or lower.
