The last three trading days have seen the AUDUSD trade below its 50% midpoint of the December trading range at 0.66975.
- On Friday the price spike below the level after the US jobs report and quickly rebounded off of lows on closer inspection of the jobs data.
- Yesterday the price also fell below the level but found support buyers near the low of a swing era between 0.6676 and 0.66896.
Today’s price has also moved below the 50% retracement, with the price also moving within the swing area between 0.6676 and 0.66896.
Can the sellers keep the price below that midpoint level? Can the sellers push the price below the low of the swing area at 0.66767? That is what sellers will be eyeing from a technical perspective.
Conversely, dip buyers may look to this area down to 0.6676 as an area to stick a “toe in the water”. If the price is going to rebound, a move back about 50% midpoint at 0.66975 would be required.
This article was written by Greg Michalowski at www.forexlive.com. Source