The AUDUSD has corrected lower after encountering resistance near a target area. The high prices from yesterday and today stalled at a critical point, which was previously identified as an important area for shifting bullish momentum. Sellers used this area to pause the rally. <\/p>\n
The pullback has allowed the 100-hour moving average to match the price at 0.6663. The current low bounced slightly off this level, which remains crucial for short-term buyer and seller strategies. A break below this mark may lead to further declines, with the 200-hour moving average and last Friday’s low at 0.6628 as subsequent targets. <\/p>\n
For sellers to regain dominance, these levels must be surpassed. Conversely, if the support holds, buyers maintain control, eyeing the swing area between 0.66817 and 0.6694 as the next key objective.<\/p>\n
The AUD\/USD rally has stalled near a key resistance area we have been monitoring, which includes swing highs from back in 2024. This failure to push higher suggests that the bullish momentum is weakening. The price has since corrected lower, making the next few weeks critical for direction.<\/p>\n
This technical weakness is aligning with fundamental pressures we are seeing. Recent US jobs data showed a stronger-than-expected gain of 210,000 for Non-Farm Payrolls, reinforcing the Federal Reserve’s stance to keep rates elevated. This underlying US dollar strength is providing a significant headwind for the pair.<\/p>\n
On the Australian side, the picture is softer, with last month’s CPI data showing annual inflation cooling to 3.1%, giving the Reserve Bank of Australia a more cautious tone. Iron ore prices have also dipped below $110 per tonne on concerns over Chinese demand, further weighing on the Aussie dollar. We saw a similar dynamic in late 2023 when a divergence between Fed and RBA policy drove the pair lower.<\/p>\n
For derivative traders, the rising 100-hour moving average at 0.6663 is the immediate pivot point. A sustained break below this level could be a trigger to consider buying put options or establishing bearish option spreads. This would position for a deeper correction based on both the technical break and the fundamental backdrop.<\/p>\n
If sellers do take control below 0.6663, the next major support zone to watch is near 0.6628. This area aligns with the 200-hour moving average and would be the next logical target for any bearish positions. A move toward this level would confirm that the recent rally has fully reversed.<\/p>\n
However, should the support at 0.6663 hold firm, it would signal that buyers are not ready to give up control. In that scenario, traders could look at short-term call options targeting a retest of the resistance between 0.66817 and 0.6694. This remains the less likely path given the current fundamental headwinds.<\/p>\n
Create your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b><\/p>\n","protected":false},"excerpt":{"rendered":" AUDUSD faces resistance; pullback tests 100-hour MA at 0.6663. Key support and resistance levels define momentum.<\/p>\n","protected":false},"author":62,"featured_media":16962,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[],"class_list":["post-30952","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/30952","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=30952"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/30952\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/16962"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=30952"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=30952"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=30952"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}