AUDUSD Volatility: Navigating Major Moving Averages and Swing Zones After FOMC Rate Decision

AUDUSD retraces towards the 100 hourly moving average

The AUDUSD has seen significant swings since the FOMC rate decision yesterday, as seen on the hourly chart. Initially, the price surged past the resistance zone between 0.67239 and 0.67296 driven by the rate decision. However, as the price approached the crucial 200-day moving average (currently at 0.6760), the sellers stepped in to drive the price down.

On the downside, the price broke below both the aforementioned swing zone and a lower swing zone between 0.6691 and 0.6703. It also broke through the 100 hourly moving average (blue line, currently at 0.6690), but the decline stopped just before the 200 hourly moving average (green line, currently at 0.66776) during the first Asian session today.

Buyers again pushed the price higher, approaching the 200-day moving average where sellers reappeared in the European session. Price retested the 100 hourly moving average and the swing zone between 0.6691 and 0.6703 leading to a modest rebound to 0.67124. Clearly, the market has seen multiple up and down moves.

However, a distinct trade pattern has emerged, with resistance sellers emerging near the 200-day moving average (currently at 0.6760) and support buyers emerging near the 100-hour moving average at 0.6690 and the 200-hour moving average of 0.66776. The intermediate swing zone between 0.6724 and 0.6730 serves as a barometer, indicating bullish sentiment above and bearish sentiment below.


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