#AUDUSD @ 0.67961 pares recent gains at three-month high, prints the first intraday loss in four., @nehcap view: Limited downside expected (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

• AUD/USD pares recent gains at three-month high, prints the first intraday loss in four.
• 200-day EMA challenges buyers amid nearly overbought RSI.
• Previous resistance line from mid-September joins 61.8% Fibonacci retracement level to stop bears.

The pair currently trades last at 0.67961.

The previous day high was 0.6845 while the previous day low was 0.6782. The daily 38.2% Fib levels comes at 0.6821, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6806, expected to provide resistance.

AUD/USD consolidates weekly gains around 0.6800 while snapping a three-day uptrend during Friday’s Asian session. In doing so, the Aussie pair retreats from the highest levels since September 13 while marking the 200-day Exponential Moving Average (EMA) as the key hurdle to the north.

Not only the 200-day EMA but the nearly overbought Relative Strength Index (RSI) line, placed at 14, also challenges the AUD/USD buyers.

Hence, a pullback towards the previous key resistance, now support around 0.6770, becomes widely expected as traders await a speech from Reserve Bank of Australia (RBA) Governor Philip Lowe.

Also read: AUD/USD bulls keep the reins above 0.6800 ahead of RBA’s Lowe, US NFP

It’s worth noting, however, that the quote’s weakness past 0.6770 support confluence, encompassing a downward-sloping trend line from September 13 and 61.8% Fibonacci retracement of the August-October downside, appears difficult amid bullish MACD signals.

Even so, a daily closing below 0.6770 won’t hesitate the AUD/USD pair to drag toward the weekly low near 0.6640.

Alternatively, the 200-day EMA level surrounding 0.6840 restricts the Aussie pair’s immediate upside ahead of September’s high near 0.6915.

Following that, a run-up towards the late August swing high near the 0.7000 psychological magnet can’t be ruled out.

Trend: Limited downside expected

Technical Levels: Supports and Resistances

AUDUSD currently trading at 0.6801 at the time of writing. Pair opened at 0.6813 and is trading with a change of -0.18% % .

The pair is trading above its 20 Daily moving average @ 0.666, above its 50 Daily moving average @ 0.6494 , above its 100 Daily moving average @ 0.6688 and below its 200 Daily moving average @ 0.6926

The previous day high was 0.6845 while the previous day low was 0.6782. The daily 38.2% Fib levels comes at 0.6821, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6806, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.6781, 0.675, 0.6718
• Pivot resistance is noted at 0.6845, 0.6877, 0.6908

[/s2If]
Join Our Telegram Group