The AUDUSD broke above trend line resistance and the 61.8% retracement in early trading and true to form moved higher. The price increase stalled against the underside of the trend line resistance (see post from yesterday outlining the target) at 1.0504 (high reached 1.0503). The price decline has taken the price below the 100 and 200 bar MA on the 5 minute chart (see blue and green line in the chart below). Those levels come in 1.0476 and 1.0463 respectively. Watch the 1.0476 100 bar MA level on retracements higher. If the price holds below this MA, the bias may be swinging more toward profit taking selling (low risk trade).
On the downside, a move below the 1.0448-55 is the next key intraday support. This would take the price below the 61.8% of the days range, the high and low from earlier in the day and the high ceiling from yesterday’s trade. The 1.0426 becomes the next target on a break from there.
