The AUDUSD started the session on the back foot after the RBA rate decision, breaking below its 200-hour moving average at 0.6487. Sellers briefly took control, but momentum quickly shifted as buyers stepped in, reversing the decline and pushing the pair back to the upside.
Volatility surrounding the US CPI report drove the price up to the 100-hour moving average at 0.65138, where sellers initially defended the level, forcing a retreat to 0.6490. That dip, however, was short-lived. Buyers reasserted control, breaking above the 100-hour moving average and accelerating gains as US dollar selling took hold.
The rally has carried the pair toward last week’s high at 0.6541, with today’s peak reaching 0.65392. The next major resistance sits at the 61.8% retracement of the drop from the July 24 high, at 0.65455. A break above this level could confirm a bullish breakout and target higher retracement zones.
Key Technical Levels
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Resistance: 0.6541 (last week’s high), 0.65455 (61.8% retracement of July 24 drop)
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Support: 0.6521 (50%), 0.65138 (100-hour MA), 0.6487 (200-hour MA)
Bias:
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Above 0.65138 – Bullish bias with scope to challenge and potentially break 0.65455.
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Below 0.65138 – Momentum fades, and sellers could retest 0.6487 and the 200-hour MA.
