AUD/USD sees price action caught between its key hourly moving averages
As the dollar slumped yesterday, the pair made its way back above 0.7100 but saw gains stall at the 50.0 retracement level of last week’s swing move lower @ 0.7132 and sellers also leaned on the 200-hour MA (blue line) to limit the upside momentum.
As such, the near-term bias is now keeping more neutral as price action is seen caught in between its key hourly moving averages with the 100-hour MA (red line) seen at 0.7080 while the 200-hour MA is seen at 0.7118.
Of note, there is also the 100-day moving average in between there resting at 0.7105 and that is also a key level to be wary about ahead of the close later today.
But the focus now stays more on the near-term chart as buyers and sellers do battle to figure out the next directional push in the pair.
After having been beaten lower yesterday, the dollar is holding its ground so far today but it hasn’t really translated to much meaningful action overall.
EUR/USD is still keeping above its 9 October high @ 1.1831 and GBP/USD isn’t really threatening a fall back under 1.3100 for the time being.
The risk mood may be tilted towards the softer side but the dollar may require a deeper selloff to really gain more traction in trading today. Otherwise, the technical levels hint that the greenback remains vulnerable after the moves yesterday.
For AUD/USD, the near-term levels outlined above will be the ones to watch in figuring out the dollar bias as we look towards the last two trading days of the week.