The AUDUSD fell sharply after the US jobs report as yields surged (2-year up 18 bps, 10 year up 17.4 bps). Technically, the price fell below its 200 day moving average at 0.6572 and more recently below its 100-day moving average at 0.65276. A key swing. 0.65229 was also broken
Recall from yesterday, the price of the AUDUSD did move below the 100-day moving average and that swing level at 0.65229 too, but failed and raced back to the upside. On today’s break, sellers are making the technical play again. Stay below the 10 day MA and the sellers are in firm control. Move back above, and there could be disappointment buying from the failed break for the 2nd time this week.
ON the downside, the 61.8% of the move up from the October low comes in at 0.6499. Move below that level and the door opens for more downside momentum.
This article was written by Greg Michalowski at www.forexlive.com. Source