AUDUSD corrects off of the low and tests an old floor from the week.

The AUDUSD moved lower with the dollar buying today and in the process, fell below a floor at 0.66767 that defined the low of what has been a narrow trading week (from low to high only about 60 pips). The extension lower saw the price extend to a new low for the week to 0.6646 but short of the low from last Friday’s employment low at 0.6640. The price has rotated higher.

That move to the upside has now taken the price up to retest the old floor at 0.66767. Sellers of the pair (buyers of the USD) would want to see the 0.66767 to 0.6689 to now hold resistance. If sellers can stay below that area, they hold the tilt of the bias (to the downside). Conversely, stay below and the sellers here would relook toward the 61.8% of the move up from the December low at 0.6656 followed by the low from last Friday at 0.6640 as downside targets.

This article was written by Greg Michalowski at Source