Technical Analysis

AUDUSD breaks and moves away from key 100-day MA. Sellers in control. What next?

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The AUDUSD fell below its 100-day moving average earlier in the Asian session at 0.6694, and after bouncing off a Asian session low of 0.6667, the subsequent corrective high found willing sellers near that moving average level and below the 0.6700 natural resistance level.

The last few hours have seen more downside momentum which is now taking the price away from that 100-day moving average increasing the bearish bias in the process. Sellers are taking more control at least in the short term.

On the downside, the next target comes against the 50% midpoint of the move up from the August low. That level comes in at 0.66451. Allow that and traders would look toward the other key daily moving average at the 200-day moving average at 0.66265. That moving average is near the high of a swing area between 0.6619 and 0.6627.

Sellers are taking control below the 100-day moving average. Traders will now be eyeing key supported 50% midpoint at 0.6645 and the 200-day moving average at 0.66265

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