AUDUSD moves back above the old floor area up to 0.68706
The AUDUSD bounced near the 200 day MA earlier today. The low reached 0.68117. The 200 day moving average was 0.68054. So the price got within six – seven pips of the key moving average target. Close enough for risk focused buyers.
The price of the AUDUSD has seen steady buying in the US session as profit takers have entered the dollar market.
In the process, the AUDUSD has moved above the 0.68706 level. That took the price above the closing low from yesterday at 0.6868.
Risk for buyers is now the 0.68549 level. That level represents the low of the swing area (see red circles).
On the topside, the 38.2% retracement of the move down from the high for the week is the next key target at 0.68946. Above that, and the falling 100 hour moving average of 0.69146 would be targeted.
Helping the move to the downside in the US dollar has been a move lower in treasury yields. Yields have come off their high levels and trade near low levels for the day.
The two year yield is at 4.629% after reaching a high near 4.72%.. The 10 year yield moved down from 3.97% to the current rate of 3.834%.
US stocks remain negative with the NASDAQ index leading the way:
- The NASDAQ index is down -1.4% for the day and is now down -0.25% for the week.
- The S&P index is down -0.89% and moving further away from the 4100 level. That index is now down -0.91% for the week.
- Finally the Dow Industrial Average is down -0.17% and is down -0.67% for the week