On the daily chart below for AUDUSD, we can see that the price action remains choppy as the uncertainty prevails in the market. The US economic data keeps giving recessionary vibes with the US retail sales missing expectations across the board and giving the USD a boost the last Friday.

This move higher in the US Dollar US Dollar The US dollar, (symbol $, code USD) is the fiat currency of the United States of America (USD) and the most widely traded currency globally. It was introduced into the US in the late 18th Century, with paper notes not being distributed until the following century. The US dollar, also informally known as the greenback, is the world’s most foremost reserve currency, due in large part to the importance of the US economy on the world stage. Once backed by gold (in the 1900’s), the USD is now a purel The US dollar, (symbol $, code USD) is the fiat currency of the United States of America (USD) and the most widely traded currency globally. It was introduced into the US in the late 18th Century, with paper notes not being distributed until the following century. The US dollar, also informally known as the greenback, is the world’s most foremost reserve currency, due in large part to the importance of the US economy on the world stage. Once backed by gold (in the 1900’s), the USD is now a purel Read this Term though is fading today. It’s a push and pull between buyers and sellers and none of them has a high conviction in what’s next. The resistance at 0.6781 coupled with the 38.2% Fibonacci retracement level is a tough nut to crack for the buyers as the sellers keep defending the level strongly.

AUDUSD technical analysis

On the 4 hour chart below, we can see the current range between the support at 0.6620 and the resistance at 0.6793. At the moment the only strategy here is to “play the range” buying at support and selling at resistance. The recent rejection at the resistance should give the sellers enough conviction to target the support. There’s no top tier US economic data until Thursday and Friday, so the technicals and the sentiment will guide the price action.

On the 1 hour chart below, we can see that today’s pullback switched the bearish momentum to a bullish one with the moving averages crossing to the upside. The little trendline should be the place where buyers and sellers are likely to lean on. The buyers will want to see the price bouncing from the trendline with the red long period moving average acting as resistance. The sellers, on the other hand, will want to see the price to break below the trendline to jump onboard and push the price towards the bottom of the range.