AUDUSD dips as correction from recent highs persists with work to do.

Today, the AUDUSD pair is experiencing a slight decline, following a significant upward momentum last week. This surge led the pair to reach its highest level since January 15th on Friday. However, the gains from this strong run were not sustained, and the pair closed Friday’s session nearly unchanged, indicating a loss of momentum.

In today’s trading session, the pair has faced modest selling pressure, pushing it down towards its high from February 22nd at 0.65943. Interestingly, it was on Thursday that the price managed to break above this level, attracting momentum buyers to the market. Despite today’s downward movement, this particular level has successfully held as support, preventing further declines for now.

What next?

Although the movie is modest and compared to the rise from last week, if the sellers are to take more control, they need to get in a stable of the high price from February 22 at 0.65943. If so, it opens the door for potential run back toward the 100 and 200 day moving averages (around 0.6562 area).

Conversely, a move back above the swing area at 0.6612 – 0.66249 is needed to give the buyers more confidence that the move lower from Friday’s high is complete.

This article was written by Greg Michalowski at Source