AUD/USD analysis: Tests resistance zone
|Despite the sharp drop on Tuesday, the AUD/USD currency exchange rate recovered. By the middle of Wednesday's European trading hours, the currency exchange rate had reached the resistance zone at 0.7170/0.7173. In the meantime, it was spotted that the rate was finding support in the 0.7140 level, which was supported by the 50-hour simple moving average.
A surge above the resistance zone might almost immediately find resistance in the 200-hour simple moving average at 0.7185. Above the SMA, the 0.7200 mark and the weekly R1 simple pivot point at 0.7220 might act as resistance.
On the other hand, a decline would have to pass the 0.7140 mark and the 50-hour simple moving average. A passing of the 0.7140 mark could result in the rate reaching previous low levels at 0.7100 and 0.7060.
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