TECHNICAL ANALYSIS

AUD / USD buyers hold on to short-term support, not yet down for the moment


AUD / USD is trading slightly higher today

AUD / USD H1 13-05
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The pair was trading lukewarm to start the day, before the aussie was lowered alongside the kiwi on the RBNZ decision earlier, sending the AUD / USD to a low of 0.6451.

Although they fell below the 200 hour MM (blue line), the buyers relied on the support of the short term trend line around 0.6450 before pushing higher and more importantly above the 200 hour MM, currently at 0.6463.

This means that the short-term bias remains more neutral for the time being, as price action and the battlefield lie between key hourly moving averages.

For sellers, it is essential to keep the price below the MA of 100 hours (red line) at 0.6499 and the handle of 0.6500 to keep the pressure down.

The 100-day moving average – today at 0.6528 – was also a key level sellers can rely on and will be watched if buyers start to take a look above 0.6500.

Overall risk sentiment remains a key factor for the pair this week, with stocks not doing too well against the backdrop of US-China tensions in general. But futures in the United States are doing a little better so far today, although there is reason to doubt the slight optimism seen yesterday.

Regarding key risk events, the speech by Fed Chairman Powell will be watched later today before arriving at the Australian employment report tomorrow.

Relations between Australia and China also seem a bit fragile to pay attention to the headlines on this front, like what we saw yesterday with the ban on importing beef from China.

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