**AUD/USD Recovers from Intra-day Lows: Trading Analysis and Outlook**
*Based on the original article by Mircea Vasiu, with additional information included for comprehensive coverage*
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The Australian dollar (AUD) experienced renewed strength during the latest trading session, bouncing off its earlier lows against the US dollar (USD). The AUD/USD currency pair managed to reclaim levels above its 100-hour moving average (MA), signaling a possible turning point in short-term momentum. Let us delve into the recent price action of AUD/USD, explore the technical and fundamental factors driving the move, and examine possible next steps for traders.
## AUD/USD Session Review
– **Early Decline and Rebound:** The AUD/USD began the session under selling pressure, extending a recent downward move following broad-based strength in the USD. However, as the session progressed, buyers intervened, leading to a recovery in prices.
– **Key Level Regained:** The key technical feat for the pair was climbing back above the 100-hour moving average, a closely-watched marker for short-term traders gauging trend strength.
– **Latest Price Quote:** At the time of writing, the AUD/USD trades above the 100-hour MA, consolidating near the 0.6790 to 0.6800 area.
## Technical Analysis of AUD/USD
### Short-Term Support and Resistance
– **Immediate Support Levels:**
– The session low formed initial support near the 0.6772 zone.
– Further support can be found at the 200-hour MA near 0.6760, and the round figure psychological level at 0.6750.
– **Immediate Resistance Levels:**
– The initial cap is at the session high around 0.6820.
– Subsequent resistance appears near 0.6840, followed by the June swing high close to 0.6870.
### 100-Hour Moving Average
– The 100-hour moving average (currently around 0.6785) played a critical role. The pair’s ability to reclaim and hold above this line indicates that sellers may be losing short-term control.
– Sustained price action above this moving average could spark further bullish moves as technical traders interpret it as a signal of momentum shift.
### Oscillators and Momentum Indicators
– **Relative Strength Index (RSI):** The oscillator is recovering from near-oversold territory, suggesting that downside pressure may be easing.
– **MACD Histogram:** Appears to be flattening, with a possible crossover that could hint at a changing momentum profile if buying continues.
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## Fundamental Catalysts Impacting AUD/USD
### Factors Driving the Australian Dollar
– **Commodity Prices:** The Australian economy is closely tied to commodity exports such as iron ore and coal. Any uptick in demand or prices for these goods tends to support AUD. Recent data shows iron ore prices stabilizing after a volatile period, bolstering the currency.
– **Economic Data
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