- Price action in AUD/USD has been very choppy of late.
- Now it looks like the price might break the support level.
AUD/USD has been stronger lately due to the improved trade outlook helping China.
If China becomes stronger then AUD normally does due to the fact that the Chinese purchase commodities from the Australians.
Therefore the copper and iron ore price becomes important to AUD and both have been rallying recently.
The support level to watch out for is 0.6861. The price got there recently but then swiftly pulled back up.
On the topside, you can seel there has been tests higher over the last seven sessions but they have all failed to break 0.6929 despite the positive trade war sentiment.
1-hour Close Up
On the hourly chart you can see a close up of all the tests higher. More recently you can see some lower highs have been created.
Now the support level on the downside becomes even more important as if it breaks a lower high lower low formation will be completed.
If there is to be some positive trade headlines that push commodities higher this afternoon the move may reverse.
For now look to see how price reacts at the lower support zones.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.