(function() { var didInit = false; function initMunchkin() { if(didInit === false) { didInit = true; Munchkin.init('105-GAR-921'); } } var s = document.createElement('script'); s.type = 'text/javascript'; s.defer = true; s.src = '//munchkin.marketo.net/munchkin.js'; s.onreadystatechange = function() { if (this.readyState == 'complete' || this.readyState == 'loaded') { initMunchkin(); } }; s.onload = initMunchkin; document.getElementsByTagName('head')[0].appendChild(s); })();(function(h,o,t,j,a,r){ h.hj=h.hj||function(){(h.hj.q=h.hj.q||[]).push(arguments)}; h._hjSettings={hjid:1422437,hjsv:6}; a=o.getElementsByTagName('head')[0]; r=o.createElement('script');r.defer=1; r.src=t+h._hjSettings.hjid+j+h._hjSettings.hjsv; a.appendChild(r); })(window,document,'https://static.hotjar.com/c/hotjar-','.js?sv=');

AUD/USD Could Restart Increase, 100 SMA Is The Key

Article background

Aayush Jindal

Key Highlights

  • AUD/USD started a downside correction from the 0.6900 zone.
  • It traded below a major bullish trend line with support near 0.6840 on the 4-hour chart.
  • EUR/USD could rise further toward 1.1050 and 1.1080.
  • Bitcoin price rallied above the $29,200 and $29,500 resistance levels.

AUD/USD Technical Analysis

The Aussie Dollar traded above the 0.6800 resistance against the US Dollar. AUD/USD tested the 0.6900 zone before it started a downside correction.

Looking at the 4-hour chart, the pair traded below the 0.6850 support level. It also traded below a major bullish trend line with support near 0.6840.

The bears pushed the pair below the 23.6% Fib retracement level of the upward move from the 0.6458 swing low to the 0.6899 high. However, the pair is still well supported above the 100 simple moving average (red, 4 hours) and the 200 simple moving average (green, 4 hours).

Immediate support is near the 0.6730 level. It is close to the 38.2% Fib retracement level of the upward move from the 0.6458 swing low to the 0.6899 high.

The next major support is near the 0.6680 level. If there is a downside break below the 0.6680 support, the pair could decline toward the 0.6600 support.

If there is a fresh increase, the pair could face resistance near 0.6850. The first major resistance is near the 0.6900 level. If there is a move above the 0.6900 resistance, the pair could rise toward 0.6950.

Looking at EUR/USD, the pair remained stable above the 1.0880 support and might for aim more upsides above the 1.1000 resistance.

Economic Releases

  • BoE Interest Rate Decision - Forecast 4.75%, versus 4.50% previous.
  • US Initial Jobless Claims - Forecast 260K, versus 262K previous.
Great