AUDUSD bounces back to the 200 hour MA area

Technical Analysis

The AUDUSD fell sharply after the Reserve Bank of Australia raise rates by 50 basis points but softened the statements a bit.

The tumble to the downside took the price below its 100 hour moving average (blue line) currently at 0.6985, and its 200 hour moving average currently at 0.69585..

The run to the downside however stalled right near swing lows from Friday and Wednesday near 0.6911, and also the 38.2% retracement of the move up from the July 14 low at 0.69069.

The price has since bounced back up and move back above the broken trend line along with the 200 hour moving average at 0.69585.

Overall, the run to the downside did some technical damage off the hourly chart, but continue to hold support. Traders will be watching the 0.6964 level and then above that the topside level at 0.69815 and the 100 hour moving average at 0.69856.

If sellers can keep the lid on against 0.6964, a run back to the floor would be eyed of course but sellers need to break the floor in order to increase the bearish bias.

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