AUD/USD tested the important long-term support level 0.6665 (50 EMA on the daily chart) today.
Since mid-October, AUD/USD has been in an upward correction, having rebounded from the local round support level 0.6200, and in the middle of this month, it made an attempt to break into the medium-term bull market zone, testing the 0.6830 long-term resistance level (200 EMA on the daily chart) for a breakdown, and even briefly exceeded the 0.6880 resistance level (50 EMA on the weekly chart).
However, this attempt has not been successful: in the last three trading days, the pair has been declining, and today it attempted to break through the 0.6665 support level. At the same time, technical indicators OsMA and Stochastic on the daily and weekly charts of the pair are on the side of sellers, also indicating the predominance of downward dynamics. Thus, we are waiting for a confirmed breakdown of this level and a further decline deep into the descending channel on the weekly chart towards its lower border, passing near the 0.5900 level. At the same time, intermediate targets are located at 0.6455, 0.6390, 0.6285, 0.6200.
Alternatively, AUD/USD will still break through to the zone above the resistance levels 0.6830, 0.6880, demonstrating the determination to move further towards the key resistance levels 0.7090 (144 EMA on the weekly chart), 0.7160 (200 EMA on the weekly chart). But, most likely, in the zone of resistance levels 0.6830, 0.6880, another rebound awaits and further movement according to our main (negative for the pair) scenario.
Support levels: 0.6684, 0.6665, 0.6600, 0.6500, 0.6455, 0.6390, 0.6285, 0.6200, 0.6170, 0.5975, 0.5665, 0.5510
Resistance levels: 0.6741, 0.6760, 0.6800, 0.6830, 0.6880
Trading Tips
Sell Stop 0.6655. Stop-Loss 0.6715. Take-Profit 0.6600, 0.6500, 0.6455, 0.6390, 0.6285, 0.6200, 0.6170, 0.5975, 0.5665, 0.5510
Buy Stop 0.6715. Stop-Loss 0.6655. Take-Profit 0.6741, 0.6760, 0.6800, 0.6830, 0.6880
