100 hour moving average currently at 0.70744
Like many pairs, the AUDUSD is correcting/consolidating from lows and that has allowed the 100 hour moving average to catch up to the price. The AUDUSD is currently trading at 0.70654. The falling 100 hour moving averages at 0.70744 (blue line in the chart below).
Recall that on Friday, the pair reached down to test its 100 day moving average and found support buyers. Today's price action stayed above that moving average and the low from Friday (the 100 day moving average is currently at 0.7011).
Technically, holding the 100 day moving average gives buyers some hope/confidence, but a move above the falling 100 hour moving average is still needed to increase the bullish tilt. Failure to do that and the move higher is simply a modest corrective move in what has been recently a move lower..
Taking a broader look at the daily chart, although the price decline last week saw the pair fall on each day (the AUDUSD has been down for 6 consecutive days), it still remains nearer the highs since bottoming in March.
The price declines last week saw the price dipped below the swing high going back to December 31, 2019 at 0.7031. Today's low moved to 0.70237 but has rebounded back above that level. Stay above it AND it's 100 day moving average keeps the buyers in control.
So the technical picture on the hourly chart is showing a bounce but sellers more in control below the 100 hour moving average. However the technical picture on the daily chart shows that the buyers are still in control above the 0.7031 and the rising 100 day moving average at 0.7011.
The conflict will make trading interesting this week. Who will win? The Price action and the technicals will help define the winner.
