AUD/USD Price Analysis: Prepares for an impulsive rally, 0.6400 a key hurdle

Aussie bulls are aiming to refresh three weeks’ high above 0.6410.
The asset is completely out of the woods after a two-week range breakout.
The RSI (14) has shifted into the bullish range of 60.00-80.00.

Sagar Dua FXStreet

The AUD/USD pair has displayed topsy-turvy moves in a range of 0.6372-0.6400 in the Tokyo session. The asset is hovering around intraday’s high as the US dollar index (DXY) has slipped again below the 111.00 mark.

Meanwhile, risk impulse is mixed as S&P500 futures have witnessed losses in morning trade after a three-day buying spell. The 10-year US Treasury yields have slipped further to 4.09%.

On a four-hour scale, the asset is completely out of the woods after a breakout of the consolidation formed in a two-week range of 0.6200-0.6356. The major is hovering around the immediate hurdle of 0.6411 recorded on Monday. A small consolidation near weekly highs is acting as an inventory accumulation phase before an impulsive rally.

The 20-and 50-period Exponential Moving Averages (EMAs) at 0.6343 and 0.6325 respectively are advancing, which indicates that the trend has shifted towards the north.

Also, the Relative Strength Index (RSI) (14) has shifted into the bullish range of 60.00-80.00, which indicates more gains ahead.

Going forward, a decisive break above Monday’s high at 0.6411 will strengthen the aussie bulls. This will drive the asset towards October 4 low at 0.6451, followed by October 4 high at 0.6548.

On the flip side, a downside break of Thursday’s low at 0.6229 will drag the asset toward the fresh two-year low at 0.6170 and April 2020 low at 0.5991.

AUD/USD four-hour chart

AUD/USD

Overview
Today last price	0.6401
Today Daily Change	0.0005
Today Daily Change %	0.08
Today daily open	0.6396

Trends
Daily SMA20	0.6364
Daily SMA50	0.6612
Daily SMA100	0.6772
Daily SMA200	0.7001

Levels
Previous Daily High	0.6412
Previous Daily Low	0.63
Previous Weekly High	0.6393
Previous Weekly Low	0.6197
Previous Monthly High	0.6916
Previous Monthly Low	0.6363
Daily Fibonacci 38.2%	0.6369
Daily Fibonacci 61.8%	0.6343
Daily Pivot Point S1	0.6327
Daily Pivot Point S2	0.6257
Daily Pivot Point S3	0.6215
Daily Pivot Point R1	0.6439
Daily Pivot Point R2	0.6481
Daily Pivot Point R3	0.6551

Author

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

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