AUD/USD Bounces Up After Plunge Below $0.6500


Continuing the price movement analysis on the AUD/USD currency pair chart yesterday, the bearish pattern displayed is as expected.

The Australian dollar suffered losses starting in the Asian session yesterday as Australian inflation data was published that missed expectations.

Coupled with the relatively good performance of the US dollar, prices continued to decline into the European session.

The price drop penetrated the 0.65000 level and then the price leveled below that level throughout the New York session.

The US dollar started to move gloomy in the New York session following the reading of the economic growth data of the United States (US) for the fourth quarter of last year slightly decreased.

The situation changed again in the trading session of Asia this morning (Thursday) with the price increase shown again above the 0.65000 level to reach a height of around 0.65200.

The increase, however, has not yet crossed the Moving Average 50 (MA50) obstacle line on the 1-hour time frame on the AUD/USD chart to remain suggestive of a bearish movement.

If the price decline occurs again in the next trading session, the 0.65000 level will be tried to be broken again by the price.

If successful, the price will continue yesterday's downward pattern to reach the support zone around 0.64500.

On the other hand if the price manages to rise past the MA50 barrier, the concentration zone around 0.654000 will be tested after the initial signal for the bullish movement of the price.

The continued rise could lead to the resistance zone at the height of 0.66000.