AUDUSD Price Analysis: Flirts with immediate support line near 0.6430
- AUDUSD retreats from a one-week-old resistance line, jostles with a two-day-old support trend line.
- MACD conditions suggest further grinding of prices towards the south.
- Key SMAs, one-month-old ascending trend line restrict short-term downside.
- Bulls need validation from October’s peak to retake control.
AUDUSD holds lower ground near the intraday bottom surrounding 0.6430, after reversing from a one-week high the previous day. In doing so, the Aussie pair sellers struggle to keep the reins between the key weekly resistance line and a two-day-old support trend line.
Although the aforementioned trend lines restrict short-term AUDUSD Moves, the bearish run appears to have a short journey as the key SMAs and an upward-sloping support line from early October challenge the Aussie pair sellers.
That said, the pair’s immediate upside needs to cross the aforementioned resistance line, at 0.6475 by the press time.
Even so, the 0.6500 threshold and the previous monthly high near 0.6550 could challenge the AUDUSD bulls.
Should the quote remains firmer past 0.6550, the odds of witnessing a run-up towards the late September swing high near 0.6750 can’t be ruled out.
On the flip side, the adjacent support line restricts the quote’s immediate declines near 0.6425.
Following that, the 200-SMA and 100-SMA could challenge the AUDUSD bears around 0.6395 and 0.6355 in that order.
It’s worth noting that the AUDUSD sellers should remain cautious unless the quote breaks an upward-sloping support line from October 13, close to 0.6280 at the latest.
AUDUSD: Four-hour chart
Trend: Limited downside expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
